China approves use of local coal for three Pakistan power plants

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China approves use of local coal for three Pakistan power plants​

Move aims to cut costs and boost energy efficiency

News Desk
July 28, 2024

China has approved the conversion of three coal-fired power plants in Pakistan from imported coal to local coal, a significant move aimed at reducing energy costs.

Sources confirmed that Finance Minister Muhammad Aurangzeb and Energy Minister Owais Leghari, currently visiting China, facilitated the agreement.

The plants affected include the 1,320 MW Sahiwal Coal Power Plant, the 1,320 MW Hub Power Plant, and the 1,320 MW Port Qasim Power Plant, all known for producing some of Pakistan's most expensive electricity.

The Chinese delegation provided a positive response regarding the re-profiling of these coal power plants, ensuring a shift to local coal.

The two countries also outlined the future steps required to advance this conversion process.

Additionally, Chinese officials assured full support for Pakistan regarding Panda Bonds, further solidifying the cooperation between the two nations.

Meetings between Pakistani and Chinese officials will continue to address the conversion and re-profiling of the power plants.