At Last Nandipur Power Plant Starts Producing 95MW

After extended delays in the construction of Nandipur power project, it starts producing 95MW of electricity from May 31, 2014. Once all the four units of the project or completed, 425MW of electricity will be added to the national grid by the end of 2014. The first phase of the project is completed in seven months.

Prime Minister Nawaz Sharif will inaugurate the first turbine of the Nandipur power project today.

The project will be completed at a cost of RS58 billion. Due to extended delays to start the project during the past many years, the cost has increased significantly. However, the Managing Director of the power plant has claimed that RS 7 billion have been saved so for on the project.

The intial cost of the project in 2008 was RS23 billion when the agreement was signed with a Chinese company Dang Fing Electric Corporation for the construction of the project. The project was planed to start production in April 2011. At this stage the project documents were mysteriously misplaced by the federal government officials resulting in Chinese company cancelling the agreement and demanding $40 million in compensation.

The $85 million worth of machinery for the project got stuck at Karachi port. Some were rusted and damaged. Present government re-negotiated the agreement and Chinese company started the work in July 2013.

Unnecessary delays in the completion of the power project not only had increase the cost by RS35 billion but also contributed to the power crisis in the country.

One can only hope that while inaugrating the power project, prime minister Nawaz Sharif also announce bringing all those persons responsible for costing national exchequer RS35 billion to justice.

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Posted by Shakira Subhani on May 31 2014. Filed under Latest News, Pakistan. You can follow any responses to this entry through the RSS 2.0. You can skip to the end and leave a response. Pinging is currently not allowed.