Lakhra Power Plant non-operational since 2006 due to leasing disputes

Wednesday, January 4th, 2012 5:39:44 by

Lakhra Power Plant non-operational since 2006 due to leasing disputes

Two units of the Lakhra Power Plant has been out of order since 2006 due to a leasing disputes and it may very well continue to do so as Water and Power Development Authority has not issued the plant’s maintenance fund.

Lakhra Power Plant, based in Lakhra coal field, Dadu District of Sindh, is the only coal-fired power plant in Pakistan and as per sources, two units of 50 megawatts each had been out of order and not maintained at all since 2006.
Wapda, which operates the plant, has ceased funding to the plant’s maintenance over the lease issue.

In 2006, the plant was leased to Jamshoro Joint Venture with the perceptive that the machinery and staff of the plant would remain under Wapda’s control while JJV will invest in power generation and refurbish the plant.

However, the labour union challenged the lease of the plant and somehow managed to get stay orders from the Sindh High Court. The SHC eventually ruled the decision in favour of JJV, leaving the union no option but to knock at the
doors of Supreme Court.

Lakhra Power Plant was constructed by Dongfang Electric Company (DEC), a China-based firm. The company completed the plant with three units of 50MW each in 1995. DEC had recommended that all three units should go through a complete
rehabilitation every four to five years.

The Chinese firm also suggested that each plant should operate for three weeks and remain closed for maintenance in the last week. Coal dust damages the tubes of the machinery, which requires regular maintenance.

Both the units are in desperate need of overhauling. Nevertheless Wapda has so far refused to spend anything to fix the broken-down units unless the Supreme Court gives its verdict, a commendable source claimed.

Wapda officials admit that maintenance funds have not been released for the two units, however, they ruled out the possibility of any technical issues.

Hussain Dahree, Wapda’s resident engineer at the thermal generation facility said, “There is no technical problem with the plant. We have both coal and limestone available for production. The only problem is of funding without
which the units cannot be made operational.”

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Posted by on Jan 4 2012. Filed under Business, Pakistan. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

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