Consultants will be arriving
KARACHI: Consultants will be arriving shortly to prepare documents for international bidding for Thar Coal project under the World Bank�s technical assistance loan of $30 million.
This was stated by Sindh Chief Minister Syed Qaim Ali Shah while presenting the provincial budget for 2009-10 on Monday. He said that Rs2 billion package has been approved for development of infrastructure at Thar coalfield.
The development of Thar coal is being termed as strategic asset for Pakistan�s energy sector as it would be crucial in providing cheap source of generating electricity to meet the growing future demand.
If documentation process of bidding is completed on fast track one could see some progress on the coal-based energy generation projects. KESC chief had recently said that his utility was contemplating two small coal-based generation plants as part of developing a mixed energy basket.
Claiming that his government had been working on multi-track strategy to develop Thar coalfield, Mr Shah also claimed that a Thar Coal Infrastructure Package of Rs2 billion has been approved to begin work on infrastructure on fast track basis. In this context he said that the government was moving ahead on the construction of an airstrip at Islamkot.
China National Machinery Corporation (CMC) and Oracle Coalfield (UK) have completed their exploratory work in Sonda and Thar coalfields and they are expected to submit their reports soon.
Model quarries at Thar and Thatta would be set up in partnership with Pakistan Stone Development Company, he said.
Qaim Ali Shah said his government had covered �strategic grounds� on Thar Coal as Karachi was able to get Federal government�s support in forming Thar Coal Energy Board (TCEB), which is a one-stop mechanism for improving all projects relating to Thar coal minining and energy under his chairmanship.
According to Mr Shah Thar Coal Mining Company, which was created at the federal level during the previous government and had 80 per cent federal equity, was abolished at the request of the Sindh government. It thus signifies that henceforth the Sindh government will take major decisions on Thar coal.
The chief minister said that the TCEB has approved a joint venture of the government of Sindh with M/s Engro on Block II and both sides are working out JV arrangements for expeditiously developing mining project.
He also referred to the efforts being made to harness alternative energy sources like solar, wind and geo-thermal in collaboration with international and national companies.
In this context he said that installation of solar powered water pumping units and desalination plants in rural areas of Sindh is envisaged in the next financial years� budget. It includes use of wind, solar and bio-gas energy for irrigation and agriculture purpose.
Rs900 million were provided to Sui Southern Gas Company and by now provision of gas to 71 villages was under progress, he said adding that for the next fiscal Rs1.1 billion has been allocated for its implementation.
Under Village Electrification Programme the government has provided Rs1 billion to Hesco.
Rs3,271.853 million has been allocated in the provincial budget for 2009-10 for the ongoing and new energy sector schemes in the province.
Rs10 million has been earmarked for hydrological studies of over 22,000 sq km at Thar, whereas Rs20 million has been provided for the development of open cast mining at Thar. Rs100 million will be spent on resettlement and compensation for inhabitants of coal mine area.
Allocation of Rs110.550 million has been made for Thar Coal and Power �technical assistance project of the World Bank.Islamkot airstrip would take Rs10 million for the first phase of the project, while Rs20.124 million has been allocated for environmental impact assessment of coal mining and coal-fired power generation.
The new energy sector schemes would require Rs1,394 million during 2009-10. As such Rs1,000 million has been earmarked for village electrification programme (phase II) in the province, whereas Rs25 million has been allocated for installation of solar-powered water pumping units and desalination plants in the rural Sindh.
Rs1,000 million has been allocated for the ongoing schemes in this regard.
An allocation of Rs69 million has been made for use of wind, solar, biogas energy for irrigation and agriculture projects during the next financial year. Rs200 million has been allocated for wind, and solar energy development in the province, while Rs100 million has been shown against a new scheme for the provision of gas to industrial economic zone, Dhabeji in district Thatta through public-private partnership.
Subject: Consultants will be arriving 
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