Energy crisis: Solar Park power project delayed by 9 months
The Chinese firm selected for the project failed to pass due diligence process.
Photo of a solar panel. PHOTO: WAQAS NAEEM
LAHORE:
The induction of 100MW to be produced at the Quaid-i-Azam Solar Park originally scheduled towards the end of March 2014, has been delayed till the end of December, The Express Tribune has learnt.
Quaid-i-Azam Solar Power Comany Chief Executive Officer Najam Ahmad Shah said that the Punjab government had re-scheduled the deadline for the generation of electricity from the solar park.
He said hopefully, the 100MW would be added to the national transmission by the end of this year.
An official of the Energy Department speaking on the condition of anonymity said the unforeseen delay been caused by the failure of the Chinese firm selected to undertake the power generation project to satisfy the criteria by the Punjab government for a due-diligence process conducted.
The Quaid-i-Azam Solar Park, to be established on 5,000 acres of the Cholistan Development Authority in Bahawalpur, was announced last year.
Najam Ahmad Shah was posted as Quaid-i-Azam Solar Power Comany chief executive officer in October, 2013. The company has been registered under the Companies Ordinance with the Securities and Exchange Commission of Pakistan.
The company invited expressions of interest from several Chinese companies for pre-qualification to produce 100MW electricity using solar cells.
As many as 12 companies applied for pre-qualification and three companies, Chint, Tibea and Sumec, were shortlisted on the basis of information they had provided.
The company sent a team of experts to China to carry out the due-diligence process for Chint.
The process involves a review of the company’s infrastructure, network, work force and investment volume before awarding a contract. Chint failed to meet the government’s benchmarks for award of the contract.
Its proposal was therefore rejected.
A team of experts visited Tibea in March. It has now been decided to award it the contract, he said.
The government will provide Rs4.5 billion in equity to the qualified firm. The company will arrange the remaining funds through bank credit, Shah said.
Published in The Express Tribune, April 20th, 2014.
The induction of 100MW to be produced at the Quaid-i-Azam Solar Park originally scheduled towards the end of March 2014, has been delayed till the end of December, The Express Tribune has learnt.
Quaid-i-Azam Solar Power Comany Chief Executive Officer Najam Ahmad Shah said that the Punjab government had re-scheduled the deadline for the generation of electricity from the solar park.
He said hopefully, the 100MW would be added to the national transmission by the end of this year.
An official of the Energy Department speaking on the condition of anonymity said the unforeseen delay been caused by the failure of the Chinese firm selected to undertake the power generation project to satisfy the criteria by the Punjab government for a due-diligence process conducted.
The Quaid-i-Azam Solar Park, to be established on 5,000 acres of the Cholistan Development Authority in Bahawalpur, was announced last year.
Najam Ahmad Shah was posted as Quaid-i-Azam Solar Power Comany chief executive officer in October, 2013. The company has been registered under the Companies Ordinance with the Securities and Exchange Commission of Pakistan.
The company invited expressions of interest from several Chinese companies for pre-qualification to produce 100MW electricity using solar cells.
As many as 12 companies applied for pre-qualification and three companies, Chint, Tibea and Sumec, were shortlisted on the basis of information they had provided.
The company sent a team of experts to China to carry out the due-diligence process for Chint.
The process involves a review of the company’s infrastructure, network, work force and investment volume before awarding a contract. Chint failed to meet the government’s benchmarks for award of the contract.
Its proposal was therefore rejected.
A team of experts visited Tibea in March. It has now been decided to award it the contract, he said.
The government will provide Rs4.5 billion in equity to the qualified firm. The company will arrange the remaining funds through bank credit, Shah said.
Published in The Express Tribune, April 20th, 2014.