Sahiwal Coal Power Project
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The Sahiwal Coal Power Project is a
coal power plant A coal-fired power station or coal power plant is a thermal power station which burns coal to generate electricity. Worldwide there are about 2,500 coal-fired power stations, on average capable of generating a gigawatt each. They generate ...
project located in the province of Punjab in Pakistan by the name of Huaneng Shandong Ruyi (Pakistan) Energy (Limited). It has an installed capacity of 1320 MW. It commenced full operations on 3 July 2017.


Project details

The power plant is located about () from Sahiwal and () from Okara cantonment, just north of the road which connects the two towns, in
Pakistan's Pakistan, officially the Islamic Republic of Pakistan, is a country in South Asia. It is the fifth-most populous country, with a population of over 241.5 million, having the second-largest Muslim population as of 2023. Islamabad is the nat ...
Punjab Province. The power plant is Pakistan's first supercritical coal power plant, and consists of two plants for a combined capacity of 1,320 MW. This is the first phase, and may be followed by a possible second phase which will include two plants. Though the plant is now considered to be part of the
China Pakistan Economic Corridor China, officially the People's Republic of China (PRC), is a country in East Asia. With a population exceeding 1.4 billion, it is the second-most populous country after India, representing 17.4% of the world population. China spans the e ...
(CPEC) which was announced in April 2015, the symbolic ground breaking for the project actually preceded the announcement of CPEC and took place in May 2014, as the government of Punjab in March 2014 invited bids for the construction of two 660MW power plants in order to help alleviate Pakistan's energy shortfalls. The plant was built by a joint consortium of China's state-owned
China Huaneng Group China Huaneng Group Co., Ltd., abbreviated as CHNG or Huaneng Group, is one of the five largest state-owned electricity generation enterprises in China, administered by the State-owned Assets Supervision and Administration Commission of the St ...
which will own 51% of shares, and the
Shandong Ruyi Shandong Ruyi Technology Group Co., Ltd is a Chinese textiles and clothing company. Founded in 1972 in Jining, China, it is a subsidiary of Jining Ruyi Investment Co., Ltd. As of 2017, Ruyi Group was the largest textile manufacturer in China. It ...
, which will hold 49% of shares.Liu 2015, p. 235 The Government of Pakistan will purchase electricity from the consortium at a tariff of 8.3601 US Cents/kWh. The project was built on a build, operate, transfer basis in which the plant's ownership will be transferred to the Government of Punjab after 30 years of operation. The project site spans a total of ,Liu 2015, p. 236 given by the Government of Punjab free of charge. The project includes the construction of a railway siding from the village of Yusuf Wala to the site for exclusive use of the plant.Liu 2015, p. 117 The plants each consist of one boiler, steam turbine and generator, and are fueled by sub-bituminous coal which will be offloaded at the project's purpose-built rail terminus. The plants generate a total of 1,320 megawatts of electricity, with a gross efficiency of 42.11% by the use of a
supercritical steam generator A supercritical steam generator is a type of boiler that operates at supercritical pressure and temperature, frequently used in the production of electric power. In contrast to a subcritical boiler in which steam bubbles form, a supercritical ...
operating at temperatures of up to 580 degrees Celsius. The plant includes an air quality monitoring system(Flue Gas Desulfurization), and an
electrostatic precipitator An electrostatic precipitator (ESP) is a filterless device that removes fine particles, such as dust and smoke, from a flowing gas using the force of an induced electrostatic charge minimally impeding the flow of gases through the unit. In c ...
in order to reduce ash and sulfur emissions from the plant. It requires 60,000 cubic meters of water daily for operation, with water being drawn from the Lower Bari Doab Canal. Raw materials for the plant, including cement, sand, wood, and other buildings materials are being sourced from Pakistan, while furniture from the plants is being procured specifically from markets in nearby Sahiwal.


Construction

While symbolic ground breaking for the project took place in May 2014, commencement of actual civil works began on July 31, 2015. The first of the two 660MW plants was put into operation on May 12, 2017, while the second 660MW plant was put into operation on May 24, 2017. An estimated 350 personnel are required to operate the plant, including 200 Pakistani engineers who are to undergo training in China. Approximately 3000 laborers are required for construction of the plant. Boiler foundations, and the plant's turbine steel structure have been completed, while the 9-storey tall boiler structure, chimneys, and cooling towers are under construction as of May 2016. In order to transport coal, a purpose-built railway line will be built from the Pakistan Railway at Yusuf Wala to the power plant itself. From there, the coal is to be transported via the purpose-built railway line. In order to assist in coal transportation,
Pakistan Railways Pakistan Railways is the state-owned railway operator in Pakistan. Founded in 1861 as the North Western State Railway and headquartered in Lahore, it owns of operational track across Pakistan, stretching from Peshawar to Karachi, offering bot ...
has signed a $214 million contract for the purchase of 55 diesel electric locomotives from
General Electric General Electric Company (GE) was an American Multinational corporation, multinational Conglomerate (company), conglomerate founded in 1892, incorporated in the New York (state), state of New York and headquartered in Boston. Over the year ...
. Pakistan Railways will also procure a further 20 diesel electric locomotives specifically for coal transport. In January 2016, the Pakistan Railways signed a $37 million contract with Jinan Railway Vehicles Equipment Company for the supply of 800 hopper wagons which will be used to transport coal to the Sahiwal Coal Power Plant; 580 of these wagons are to be constructed at the
Mughalpura Lahore District () is a district in Punjab, Pakistan, consisting of the provincial capital, Lahore and surrounding areas. It is the most populous district of Pakistan, with a population of 12,978,661 (10.29 million) in 2023. The total area is ...
railway workshop. In order to connect the plant to the national electrical grid, a 9.5 kilometer 500 kilovolt single circuit transmission line will be constructed from the site to the Sahiwal Substation.


Coal Source

As with the
Pakistan Port Qasim Power Project The 1,320 megawatt Port Qasim Power Project comprises two 660 megawatt supercritical coal power plants, one of which was inaugurated in December 2016 as part of the China–Pakistan Economic Corridor. The $2.09 billion project is located on 330. ...
, most of the coal used for the power plant is imported from
Indonesia Indonesia, officially the Republic of Indonesia, is a country in Southeast Asia and Oceania, between the Indian Ocean, Indian and Pacific Ocean, Pacific oceans. Comprising over List of islands of Indonesia, 17,000 islands, including Sumatra, ...
and
South Africa South Africa, officially the Republic of South Africa (RSA), is the Southern Africa, southernmost country in Africa. Its Provinces of South Africa, nine provinces are bounded to the south by of coastline that stretches along the Atlantic O ...
, and is transported by rail from the
Port of Karachi The Port of Karachi (, ''Bandar gāh Karāchī'') is one of South Asia's largest and busiest deep-water seaports, handling about 60% of the nation's cargo (25 million tons per annum) located in Karachi, Pakistan. It is located on the Karachi H ...
and
Port Qasim The Port Muhammad Bin Qasim ( ''Bandar-gāh Muhammad bin Qāsim''), or Qasim Port Authority (), also known as Port Qasim, is a deep-water seaport in Karachi, Sindh, Pakistan, on the coastline of the Arabian Sea under the administrative control ...
in Pakistan's
Sindh Sindh ( ; ; , ; abbr. SD, historically romanized as Sind (caliphal province), Sind or Scinde) is a Administrative units of Pakistan, province of Pakistan. Located in the Geography of Pakistan, southeastern region of the country, Sindh is t ...
Province to the nearby village of Yusuf Wala on Pakistan's existing railway infrastructure. An estimated 4.48 million tons of coal will be required annually for the plant, based on a calculation of 22 hours of power generation per day. Indonesia is identified as a primary source for its high quality coal, reliable production, and short transit times to Pakistan. Coal from Pakistan's own
Thar coalfield The Thar coalfield is located in Thar Desert, Tharparkar District of Sindh province in Pakistan. The deposits—16th-largest coal reserves in the world, were discovered in 1991 by Geological Survey of Pakistan (GSP) and the United States Agency f ...
was found to contain excessive amounts of sulfur and lime, and was not deemed to be of high enough quality for the project.Zhong 2014, p. 156-157. The supply of reliable coal from the fields was also considered to be inadequate. A mixture of Pakistani indigenous coal with imported coal was also deemed to be unsuitable as it would decrease heat production from coal, and would compromise safety of the boilers which are to be used in the project.


Financing

The project is expected to cost a total of $1.8 billion. Of this, the Chinese consortium bore 20% of the cost ($356.4 million) while the remaining 80% ($1.4256 billion) was financed by a loan from the
Industrial and Commercial Bank of China The Industrial and Commercial Bank of China (ICBC; zh, 中国工商银行) is a Chinese partially state-owned multinational banking and financial services corporation headquartered in Beijing, China. It is the largest of the " big four" banks ...
.Liu 2015, p. 175.


Tariff

The Government of Pakistan will purchase electricity from the plant at a tariff of 8.3601 US Cents/kWh.


Is Sahiwal a suitable site for this project?

Sahiwal is located in the Central Punjab, Pakistan with a very productive agrarian land of extreme fertility. This raises in the minds of people concerned, a critical question related to the site of the project and the possible risks linked with pollution and soil fertility decline. The answers to such questions might be scientific but easily understandable. Though thermal houseplants which involve coal as the main burning substance increase the risk factors of pollution but certain precautions can minimize the harmful effects resulting from the thermal procedures. For this purpose, modern electrostatic precipitator and desulphurization technology has been fitted in this project which will take care of the quality of air by eliminating dust particles, ash and sulphur contents from the outgoing flowing gas. An anti seepage ash yard has been built in the system to prevent ash water from entering the ground. Furthermore, the most advanced air quality monitoring system has been fitted in the site to monitor and maintain the air quality of the surroundings. The question related to the disturbance in the balance of water supply for agriculture is answered by the logic that only 60,000 cubic metres of water per day from Lower Bari Doab is needed for complete operation of the plant which does not have any impact on the water being used for agrarian purposes of the surrounding agricultural land. So, Sahiwal proves to be a very suitable site for Coal Power Plant despite the concerns of some people. *
List of power stations in Pakistan Pakistan has a total installed power generation capacity of 49,270 MW as of 13 September, 2024 which includes 28,766 MW thermal, 11,519 MW hydroelectric, 1,838 MW wind, 780 MW solar, 249 MW bagasse, 3,620 MW nuclear and 2,498 MW of net metering ...


References

{{China–Pakistan Economic Corridor Coal-fired power stations in Pakistan Sahiwal District Buildings and structures in Punjab, Pakistan China–Pakistan Economic Corridor Tourist attractions in Sahiwal Energy in Punjab, Pakistan Energy cooperation under the Belt and Road Initiative