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Latest News - June 14, 2020

Government is set to expedite work on Special Economic Zones (SEZs) under CPEC

Timely completion of CPEC is among the top priorities of the government. After successful completion of key projects in the 1st phase, the 2nd phase will focus on the development of Special Economic Zones (SEZ), strengthening trade and cooperation in various sectors including agriculture and technology. To accelerate the development and operations of SEZs, Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company (SSGC) have decided to ensure gas supply to Rashakai SEZ in KP, Allama Iqbal Industrial City (AIIC) in Faisalabad, Dhabeji in Thatta, Sindh, and Bin Qasim Industrial Park under CPEC.

Meanwhile, Annual Development Plan (ADP) 2020-21 noted that the construction of Matiari-Lahore +660 kV HVDC Transmission Line under CPEC would strengthened the National Transmission and Despatch Company (NTDC). Moreover, Pakistan-China cooperation has expanded to renewable energy development. ACT Wind Pvt Ltd, a major developer of wind energy in Pakistan, has been collaborating with Xinjiang Goldwind Science Technology Company.

ISLAMABAD, June 12 (APP):The two state companies, Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company (SSGC), have provided gas connections to 430,145 consumers during the fiscal year 2019-20. The companies also laid more than 5,000 kilometer transmission and distribution pipelines in their respective jurisdiction.

The SNGPL has planned to execute a 29-KM pipeline project for supply of 30 Million Cubic Feet per Day (MMCFD) gas to Rashakai Special Economic Zone (SEZ), while the SSGC would implement projects for supply of 13.5 MMCFD and 13 MMCFD gas to Dhabeji and Bin Qasim Industrial Park, Special Economic Zones (SEZs), Sindh, according to the Annual Development Plan (ADP) 2020-21.

For the next fiscal year, the government has set a target to produce 31.12 million barrel oil and 1.58 trillion cubic feet gas, while the gap between demand and production would be supplemented through Liquefied Natural Gas (LNG) and Pakistan Oilfields Limited imports.

As per official data, there is a gap of over two Billion Cubic Feet per Day (BCFD) gas between production and demand of the commodity to meet requirements of more than 9.6 million consumers across the country.The country’s indigenous natural gas production is around 4 BCFD against an unconstrained demand of over 6 BCFD.

While, the total consumption of petroleum products in the country stood at 19.68 Million Tons (MTs) during the fiscal year 2019-20, out of which 11.59 MTs was achieved through local refineries and 8.09 MT through import.

June 13, 2020 – An addition of 3,933 MW is planned to increase electricity by June 2021 as per Indicative Generation Capacity Expansion Plan (IGCEP) 2047 envisaged by National Transmission and Despatch Company (NTDC)/Power Division.

According to Annual Development Plan (ADP) 2020-21, the NTDC transmission system will be strengthened by adding 4,445 MVA through construction of Matiari-Lahore +660 kV HVDC Transmission Line of total length 880 km (4,000 MW) during 2020-21 for evacuation of additional power generation.

Further, 94km Transmission Line will be added on 500 kV. New Projects for Electricity and Gas Supply to Special Economic Zones (SEZs) (Dhabeji, Rashakai and Hattar). Furthermore, under the public private partnership joint venture project between Government of Sindh and Engro Group, the SECMC/Engro Power achieved the target of 660 MW by June 2019 with open-pit coal mine in Tharparkar district.

However, the challenges confronting by the Energy sector are multi-dimensional in nature that included, high cost power generation, higher transmission and distribution losses, gas demand and supply gap and poor revenue collection.

These factors consequently give rise to higher tariffs resulting in higher subsidies and circular debt, particularly in Power sector.

The overall energy supply situation in the country has been improved through addition of 1,441 MW generation capacity in the national grid by June, 2020.

However, in wake of COVID-19 pandemic, as per NTDC (NPCC) statistics, energy consumption in March 2020 declined (Electricity by 4,000 MW, and petroleum products by 30 percent to 35 percent) mainly due to commercial and Industrial shutdown.

Jue 13, 2020 – ACT Wind Pvt Ltd, a major developer of wind energy in Pakistan, has signed a contract with Xinjiang Goldwind Science Technology Company to acquire 50MW suite of wind turbine for the Phase II ACT project, Gwadar Pro reported on Friday.

The suite is comprised 20 turbines with each having a capacity of 2.5MW. It’s the second time the two companies stroke a deal. The first came into effect 4 years ago when ACT project Phase I of 30 MW adopted Goldwind’s wind turbines, which have been in secure and stable operation since then.

ACT project Phase I is first of the many power projects jointly owned and operated by Tapal Group, Akhtar Group and Ismail Industries.

The plant comprises of 20 wind turbines having a combined capacity to produce 30MW of electricity (each having a capacity of 1.5MW ).

The project achieved its Commercial Operations Date on 8th October, 2016. The ACT project Phase II is set to be located in Jhimpir, known as “the pathway of wind” in Sindh Province.

Goldwind was the first Chinese wind turbine producer to enter into the Pakistani market in 2013. It has customized high-temperature wind turbine for Pakistan that boasts average availability of over 99% in a long term.

Meanwhile, Goldwind has cultivated local talents with knowledge and skills on operation, maintenance, and examination of wind power plant.

With an edge in providing products that feature high-adaptability to the environment and stable operation, Goldwind has grown to become a model for local wind power projects.

So far, Goldwind has played a part in the investment and operation of 6 power plants in Pakistan. With the order of ACT Phase II project to be implemented, new installment of wind generators in Pakistan provided by Goldwind will reach 150MW by 2022, and the total installment will register 477MW. Such an amount of environment-friendly wind energy is estimated to provide 1.5 billion (Kwh) of electricity, alleviating the power shortage in a greener way.

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