Power generation from Thar coal reaches 2,640MW, set to hit 3,280MW by year’s end

Thar coal generates electricity at Rs24 per unit and with increased production, this cost could drop to Rs20 per unit

HYDERABAD   -   Thar coal is currently contributing approximately 2,640MW of electricity to the national grid from its two blocks, with power generation expected to reach about 3,280MW by the end of this year.

Azhar Malik, Vice President of Site Operations at Sindh Engro Coal Mining Company (SECMC) for Thar Coal Block II, disclosed this while speaking to the media in Islamkot, Tharparkar. Malik mentioned that each block produces 1,320 MW of electricity. He highlighted that Thar coal could save Pakistan $8 billion annually by generating cheaper electricity and suggested shifting cement and urea fertilizer plants to Thar coal to strengthen the country’s economy. He noted that the cost of electricity from furnace oil is Rs 49 per unit, from RLNG Rs 51 per unit and from imported coal Rs 41 per unit, while Thar coal generates electricity at Rs 24 per unit and with increased production, this cost could drop to Rs 20 per unit, benefiting both domestic and industrial users. He added that Pakistan’s electricity demand peaks at 35,000MW in summer, but Thar coal reserves could generate 100,000 MW of cheap electricity for 200 years.

Currently, SECMC generates approximately 1,320MW from Block II, with an additional 1,320 MW produced by China’s Shanghai Electric Company from Block I, he said and added that Thar coal reserves are divided into 13 blocks, each with about 2 billion tonnes of coal, and only two blocks operational at the time.

Malik also informed that a project of 105km railway line from Islamkot to Chhor was approved to transport coal across the country, benefiting industries like cement and textiles by providing a cheaper fuel alternative.

The General Manager (CSR) of Thar Foundation Farhan Khan Ansari said that 30 engineers from Tharparkar were sent to China for training, and over 63 percent of local people are employed in various projects, including two local mining managers.

The Thar Foundation operates five hospitals, 28 schools, and mobile clinics. They have also started a Coal Mining Technology course with 43 students, including 13 girls, who will also receive training in China. A major livestock project will soon be launched to boost the local economy.

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