Cheap Resource: Coal to help cut power production cost

Coal-based stations would lessen reliance on expensive furnace oil, slash production cost and reduce oil imports.

LAHORE:

Pakistan Economy Watch President Dr Murtaza Mughal, while welcoming the government’s plan to run inefficient thermal power plants on coal, has said it will not only enhance power production from Jamshoro and Guddu plants by 700 megawatts but will also reduce production cost by Rs7 per unit.

In a statement, Mughal said the government should plan to covert more power plants into coal-based stations in order to lessen reliance on expensive furnace oil, slash production cost and reduce oil imports.

He was of the view that running of power plants on coal produced locally would improve energy mix in the country. Though consumption of coal in power plants could reduce the demand-supply gap to some extent, some bold steps were needed to overcome power shortages, he said.

Published in The Express Tribune, September 16^th, 2012.