Wednesday, March 19, 2014

Lakhra to enhance power generation

By Abdul Qadir Qureshi
(Pakistan News & Features Services)

Upon the instructions of the Federal Government, the Lakhra Power Generation Company Limited (LPGCL) is assisting JICA for the feasibility study of state of the art 600 MW FBC Power Generation Plant at its Complex, located 31 kilometers off Jamshoro. 

According to the company sources, the objective is to enhance its present generation capacity from 30 MW to 60 MW by carrying out the rehabilitation work through essential major repairs of Unit 2 only at a cost of Rs 34 million during the next four months. 

Sources disclosed that LPGCL Complex has three Units of 50 MW each with a total installed capacity of 150MW, 31 KMs off Jamshoro with FBC technology, which burns low grade coal (lignite in this case) with the addition of limestone for power generations. 

In 2006 rehabilitation work was initiated by the Company for Units 1, 2 and 3 and only Unit 1 could be functional after rehabilitation. During the same year, the Federal Government decided to go for Lease Transaction of the 150 MW capacity plant and thus, the rehab work on Units 2 & 3 was grinded to a halt, forcing the Company to go for marginalizing its capacity to 30 MW from the only rehabilitated Unit 1. 

Sources further disclosed that stakeholders like the bidder and the others initiated legal proceedings in 2006, which culminated in the setting aside of the lease transaction by the apex court in August 2013. The company in quest to assist the Federal Government to overcome the energy crises has decided to go for the immediate functioning of Unit 2 at a cost of Rs 34 million. 

The company has also submitted a proposal to its mother concern i.e. the Office of GM, GENCO, for the rehabilitation of all the three Units at a total cost of 20 Million dollars, as only Unit 1 is working at declared de-rated capacity of 30 MW. The rehabilitation of all three Units shall enhance the capacity of 40 MW each to the national grid. 

It may be mentioned here that Units 2 and 3 were shut down from 2006 and 2008, respectively. The period of the job is expected to be completed within 18 months. The company will be able to recover 90 MW of capacity with an investment of 20 million dollars or 0.22 dollars per MW. The company is likely to reduce the current cost of Rs. 15.37 to below Rs. 09.50, when job done.