Siddiqsons power station
|This article is part of the CoalSwarm coverage of Pakistan and coal.|
Siddiqsons power station is a proposed 330-megawatt (MW) coal-fired power station in Sindh province, Pakistan.
The map below shows the location of Thar Block-II, the mining area where the plant will be built in Sindh province. Until late 2017 the plant was planned for Port Qasim.
On December 22, 2014, Siddiqsons Group and China's Harbin Electric International Company, the co-sponsor, signed a consortium agreement to jointly establish a 350 MW coal fired power plant on supercritical technology at Port Qasim, Karachi. The power station was planned for completion in 2019 and was to be based on imported coal. The companies applied for a generation license in March 2015.
The power station was estimated to cost US$550 million, and would be built on 100 acres in the area within the jurisdiction of the Port Qasim Authority (PQA).
At a June 2015 public hearing for the power station, attendees expressed doubts over the capacity, authority, and influence of the Sindh Environmental Protection Agency (SEPA) to carry out post-environmental impact assessment (EIA) monitoring and ensure the project's compliance with environmental laws.
In September 2015, the Private Power and Infrastructure Board (PPIB) issued a Letter of Support to the project. Also, the National Electric Power Regulatory Authority (NEPRA) approved the upfront tariff for the project. The project would cost an estimated US$600 million and financial close was expected by the first quarter of 2016 according to Siddiqsons Energy CEO A Rahim Rafi.
In February 2016, Siddiqsons signed a construction contract with Harbin Electric to build the plant. Construction was at that time scheduled to begin in July 2016, and would be completed Q1 2019.
In July 2016, the government banned private investment in power projects based on imported fuel. In November 2016, Dawn reported that sponsor Siddiqsons Energy Limited (SEL) was compelled to convert the project to local Thar lignite coal if it wanted to continue with it and bring foreign financing. The negotiations led to an agreement on extending the financial close deadline until August 2017. It was now planned for June 2020.
In January 2017, the government approved the transmission plan for the plant.
In August 2017, SEL said it planned to relocate its coal plant to Thar Block-II from Port Qasim to curtail transportation cost. A document citing a transportation study undertaken pursuant to the requirements of the local coal tariff said transporting one million tonnes of coal each year from Thar to Port Qasim was “not only impractical and wasteful, but also hazardous.” The change in location from Port Qasim to Thar would reduce the plant's capacity from 350 megawatts to 330 megawatts. SEL filed an application seeking a new generation licence for a coal plant at Thar Block II after the power regulator directed the company to seek a fresh generation license for the new site. SEL obtained a firm commitment for the allocation of coal from the Sindh Engro Coal Mining Company (see Thar Mine).
In January 2018, the tariff for the proposal was approved, but the revised generation license application was still under review. A generation license for the project was issued on August 8, 2018.
In May 2018, Engro Corporation announced it would invest in the project by purchasing US$21.3 million worth of SEL shares. Engro also said it had entered into a joint-venture agreement (JVA) with Siddiqsons Limited and Arif Habib Limited regarding management of SEL.
A December 17, 2018 updated list of "Upcoming IPPs" by the Ministry of Water & Power stated the plant would be commissioned in March 2022, and that financial close was "in progress". In February 2019, the Private Power and Infrastructure Board extended the project's deadline for financial close by one year.
In January 2020, the transmission lines for the project were approved.
A December 4, 2020 updated list of "Upcoming IPPs" by Pakistan's Private Power and Infrastructure Board stated the plant would be commissioned in July 2023. Financial close was still in progress. An update on October 1, 2021 pushed back the target completion to April 2024 and stated that financial close was still in progress. As of June 2022, the target completion date was still listed as April 2024, but it was marked as "under litigation". The subject of this litigation was unclear.
(Pakistan’s Indicative Generation Capacity Expansion Plan 2021-30 approved by the National Electric Power Regulatory Authority in September 2021 had listed the project for commissioning in June 2023.)
- Sponsor: Siddiqsons Energy Limited (SEL)
- Parent company: Siddiqsons Group, Engro Corporation, Arif Habib Limited
- Location: Thar Block-II, southeast of Singhara in Thatta district, Sindh province, Pakistan
- Coordinates: 24.766667, 67.333333 (approximate)
- Status: Permitted
- Gross Capacity: 330 MW
- Type: Supercritical
- Projected in service: April 2024
- Coal Type: Lignite
- Coal Source: Thar Mine, Thar coal, Pakistan
- Source of financing:
Articles and resources
- "Application for Generation License," National Electric Power Regulatory Authority, March 31, 2015
- "Doubt cast on post-EIA monitoring of coal-fired power plant," Dawn, June 16, 2015
- "Coal-fired power plant: PPIB issues LoS to Siddiqsons," Business Recorder, September 2, 2015
- "Pakistan, China to build 350MW coal power plant in Karachi," Express Tribune, February 29, 2016
- "Harbin Electric and Siddiqsons to build 350MW coal-fired power plant in Pakistan," China Power, March 14, 2016
- "Govt gives up over 1,000MW of imported coal-fired power projects," Dawn, November 5, 2016
- "Upcoming IPPs," Pakistan Private Power and Infrastructure Board, accessed November 2016
- "CDWP approves 18 projects of worth Rs 154 billion," AP Pakistan, January 17, 2017
- "Coal-fired plant relocated to cut transportation cost," The News, August 15, 2017
- "Approval of Thar Coal Upfront Tariff for 330 MW Mine Mouth Coal Power Plant," National Electric Power Regulatory Authority, January 23, 2018
- "Grant of generation license," National Electric Power Regulatory Authority, August 8, 2018
- "Engro corporation to invest $21.375 million in Siddiqsons energy," Pakistan Today, May 7, 2018
- "Upcoming IPPs," Private Power & Infrastructure Board, Ministry of Power, updated December 17, 2018
- "PPIB extends financial close deadlines of three power projects," The News, February 20, 2019
- "PTI govt clears eight projects worth Rs41b," The Express Tribune, January 30, 2020
- "Upcoming IPPs," Private Power & Infrastructure Board, Ministry of Power, updated December 4, 2020, Archived Jan. 26, 2021
- Upcoming IPPs, Private Power & Infrastructure Board, Ministry of Power, updated Oct. 1, 2021
- "Upcoming IPPs,", Private Power & Infrastructure Board, Ministry of Power, updated April 1, 2022
- “Indicative Generation Capacity Expansion Plan 2021-30,” National Transmission and Despatch Company, September 2021
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