Skip to main content

Gwadar coal power tariff sought at Rs8.9/unit for 30 years

https://www.thenews.com.pk/print/286614-gwadar-coal-power-tariff-sought-at-rs8-9-unit-for-30-years



Listen

ByOur correspondent

ISLAMABAD: The CIHC Pak Power Company has submitted to Nepra the petition of coal-based power plant of 300 MW at Gwadar port seeking a levelised tariff of Rs8.9 per unit for 30 years. The internal rate of return (IRR) of the project will be 17

percent.

Nepra has been asked for the two-part tariff consisting Rs9.57 per unit for first 12.5 years and Rs8.49 per unit for the period from 12.5 years to 30 years.

The fuel consumption of the plant will be based on the thermal efficiency of 37 percent and the coal of South Africa will be used for the power generation.

The project will be completed in 30 months at the cost of $542.32 million that include engineering, procurement, construction (EPC) cost of $369.88 million, interest during cost (IDC) of $32.90 million, expenditure in the heads of withholding tax, sales tax and custom duty valuing $40.11 million, non-EPC cost of $10.64million, project development costs of $21.03 million, company and sponsor cost of $26.84 million, insurance during construction $3.70 million, O & M mobilisation $6.49 million, non-reimbursable fuel and start-up cost prior to synchronisation $3.44 million, SINOSURE fee during construction $9.21 million, and financing fee and charges of $13.12 million.

Currently the whole Gwadar depends upon the 70 MW of electricity being imported from Iran. Of this, 14 MW is being provided to Gwadar port alone while the rest of 56 MW is being utilised by Makran Coastal areas.

The project will be constructed on built, own, operate (BOO) basis based on imported coal.

The most shocking part of the petition is that debt payments, all taxes that include income tax, withholding tax, corporate tax, payments to workers welfare fund, Zakat deduction on dividends, Balochistan government taxes will be treated as pass-through items apart from the imported coal cost that is projects to be at $102 per metric ton.

About 207 acres of land will be acquired for the project at the price of $5 million and government of Balochistan has started the process for the acquisition of land.

Comments

Popular posts from this blog

Balochistan to establish first medical university

https://www.dawn.com/news/1366135

The Newspaper's Staff CorrespondentOctober 25, 2017QUETTA: The provincial cabinet on Tuesday approved the draft for establishing a medical university in Balochistan.Health minister Mir Rehmat Saleh Baloch made the announcement while speaking at a press conference after a cabinet meeting.“The cabinet has approved the draft of the medical university which would be presented in the current session of the Balochistan Assembly,” he said, adding with the assembly’s approval the Bolan Medical College would be converted into a medical university.Published in Dawn, October 25th, 2017

China’s 'Digital Silk Road': Pitfalls Among High Hopes

https://thediplomat.com/2017/11/chinas-digital-silk-road-pitfalls-among-high-hopes/


Will information and communication technologies help China realize its Digital Silk Road?By Wenyuan WuNovember 03, 2017In his speech at the opening ceremony of China’s 19th Party Congress, President Xi Jinping depicted China as a model of scientific and harmonious development for developing nations. Xi’s China wants to engage the world through commerce but also through environmental protection and technological advancement. This includes Beijing’s efforts to fight climate change with information and communication technologies (ICTs) that it plans to export along its “One Belt One Road” initiative (OBOR). Xi may have ambitious plans, but could China be throwing up obstacles in its own way?In his speech, the Chinese president emphasized the need to modernize the country’s environmental protections. The Chinese state is taking an “ecological civilization” approach to development and diplomacy, with a natio…

Germany’s Siemens sets up Belt and Road office in Beijing

https://gbtimes.com/germanys-siemens-sets-up-belt-and-road-office-in-beijing
Germany’s Siemens sets up Belt and Road office in Beijingby Janne Suokas Mar 23, 2018 15:20 TRADEINVESTMENTBELT AND ROAD INITIATIVEGerman industrial and engineering group Siemens will set up a Belt and Road office in Beijing. surberFlickrCC BY 2.0
German industrial and engineering group Siemens will set up an office in Beijing to boost international cooperation under China’s Belt and Road initiative, the company said on Friday.The move will help strengthen Siemens’ cooperation with Chinese and international companies and expand business opportunities brought about by the Belt and Road initiative, according to the company’s statement.The Belt and Road initiative is China’s ambitious project to boost trade and infrastructure investment in more than 65 countries along the ancient Silk Road trade routes from Asia to Europe and Africa.Siemens said it had already partnered with hundreds of Chinese companies in overse…