Alternative energy: Wind project in Gharo secures finances

ISLAMABAD: The Alternative Energy Development Board (AEDB) on Wednesday said that the 50 megawatt (MW) wind power project by the Foundation Wind Energy-I Ltd (FWEL-I) located at Gharo, Sindh had achieved financial closing. The announcement was made in a ceremony held here on Wednesday. On the occasion, Managing Director Fauji Foundation Lt General (retd) Muhammad Mustafa Khan said that Fauji Foundation is developing two wind farms at Gharo at a cost of around $223 million, which is being financed by Asian Development Bank, Islamic Development Bank and a syndicate of local banks led by National Bank of Pakistan. For FWEL-I, debt financing equal to 75% of the project cost, is on a Shariah compliant basis and is the first of its kind in Pakistan. The remaining 25% of the project cost is being financed via equity investment, 65% arranged by Fauji Foundation group and 35% by Malaysian company CapAsia. The combined total energy output of both projects is 288 Gigawatt Hour per annum. The projects are targeting commercial operation during the third quarter of 2014.

Published in The Express Tribune, July 25^th, 2013.

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