Govt set to hand over operation of two RLNG power plants to private sector

The government has decided to hand over the operation and maintenance (O & M) of two power plants to the private sector through international competitive bidding (ICB) and issued prequalification documents in this regard, Pakistan Today learnt on Monday.
Well-placed official sources informed this scribe that Pakistan Muslim League-Nawaz (PML-N) government has decided to conduct bidding for the works and services pertaining to operation and maintenance of 1223 MW power plant at Balloki and 1230 MW power plant at Haveli Bahadur Shah. And, National Power Parks Management Company (Pvt.) Limited (NPPMCL) now intends to hire the services of an operation and maintenance contractor who shall work in close association with the EPC contractor during the commissioning phases of the two power projects and the 2-year warranty period, and in liaison with the LTSA contractor during the operational phase of the projects. In this regard, NPPMCL has issued prequalification document to applicants interested in the bidding, they added.
NPPMCL is a private limited company, wholly owned by Ministry of Water and Power, Government of Pakistan and incorporated under the Companies Ordinance 1984 on March 3rd, 2015. NPPMCL is setting up 1223 MW (Gross) Combined Cycle Power Plant at Balloki, Kasur, about 80km from Lahore under the IPP (Independent Power Producer) regime.  And, another 1230 MW (Gross) Combined Cycle Power Plant at Haveli Bahadur Shah, Jhang, 47 km from Toba Tek Singh under the IPP. Also, RLNG will be the primary fuel for these plants whereas High-Speed Diesel (HSD) will be used as a backup fuel.
Documents available with scribe disclosed that Engineering, Procurement and Construction (EPC) contract of Balloki power plant has been signed with M/s Harbin Electric International, China and Habib Rafiq (Pvt.) Ltd. (HEI-HRL JV) on November 2, 2015, after a transparent International Competitive Bidding (ICB) process. Similarly, the EPC contract of Haveli Bahadur Shah power plant has been signed with M/s Power Construction Corporation of China – Qavi Engineers JV on October 13, 2015, after ICB process. Likewise, the gas required by the Power Plant will be supplied by SNGPL for which Gas Supply Agreement (GSA) has been signed on October 29, 2016. Besides, Long Term Service Agreements (LTSAs) of the two said Re-gasified Liquefied Natural Gas (RLNG) power plants have been signed with the GT OEM, GE, on October 18, 2016.
Officials at water and power ministry said that work on both RLNG based power plants has been executed on fast track basis. Gas turbines of Haveli Bahadur Shah and Balloki power plants are expected to be commissioned on simple cycle during the second quarter of 2017. However, the power plant at Haveli Bahadur Shah is expected to be commissioned in combined cycle mode in last quarter of 2017, while the power plant at Balloki is likely to be commissioned in combined cycle mode in the in the first quarter of 2018. “The progress of works at the site is satisfactory and the projects are expected to be completed as per schedule,” officials said.
According to documents, the power generated by the plant (Havelli Bahadur Shah) will be evacuated via a connection to the existing 500 kV double circuit transmission line, approximately 3 km long, for looping in/out of the existing Muzaffargarh – Gatti (Faisalabad West) 500 kV single circuit and 500 kV double circuit transmission line, approximately 25 km long, for looping in/out of the existing Multan – Gatti (Faisalabad West) 500 kV single circuit at the plant. Similarly, the power generated by the Balloki power plant will be evacuated by constructing a 500 kV transmission line of approximately 40 km length from Balloki Power Plant to Lahore South Grid Station.