National News
50 MW power project from Thar Coal within a year, NA told
Posted on: Fri March 12, 2010
National Highlights
ISLAMABAD: The National Assembly was informed on Thursday that the first Thar Coal project of 50 MW would be completed within the next year.
The minister for water and power told the House in response to a calling-attention notice: We hope it would be completed within the next one year. MNAs Abdul Majeed Khan Khanan Khel, Raja Muhammad Asad Khan, Nighat Parveen Mir, Malik Shakir Bashir Awan and Syed Javed Ali Shah had drawn the attention of the minister towards the recent increase in power tariff.
The minister said the use of furnace oil by power plants due to the shortage of gas resulted in hike in power tariff. He clarified that the National Electric Power Regulatory Authority (Nepra), not the ministry, decided the increase in the tariff, while the ministry was under obligation to implement the recommendations of Nepra.
He said the recent increase was a tariff adjustment to meet the extra generation cost due to the use of furnace oil. Prices are reviewed every month and when the oil prices go up or down, the tariff is revised accordingly.
He said: In August, the price was reduced by 13 paisas per unit and in September, by two paisas. But in January, the tariff was revised upward by Rs 1.02 per unit, which is actually 62 paisas increase and is due to the use of furnace oil.
He said that in January, the hydel power generation slashed to zero and they had to depend mostly on furnace oil. But, with more water coming to dams and more hydel power coming to the energy mix, the tariff woudl decrease, he added.
Replying to a question, the minister said power generation with gas cost Rs 4.05 per unit and Rs 10.05 with furnace oil, while the hydel power generation cost just Rs 1.02. He said they did not have gas at the moment and for further going to hydel, they needed eight to 10 years for the construction of more dams. He said that out of around 17.5 million consumers, 5.5 million were lifeline consumers, who were provided subsidy and are made to bear minimum of tariff increase.
Courtesy : The News