BECO Steel begins work on 5MW solar plant, eyes Rs201 million annual savings

BECO Steel Limited has commenced the installation of a 5-megawatt solar power plant as part of its green expansion plan, the company informed the Pakistan Stock Exchange (PSX) in a disclosure on Wednesday.

“In continuation of our earlier disclosure regarding the Company’s expansion plan, including installation of a solar power plant as part of the project, the Company is pleased to inform that the construction and execution of the project has started,” read the notice. 

The company stated that the contract for installation of solar panels has been awarded and procurement arrangements are underway. It has also applied for the required sanctioned load enhancement from Lahore Electric Supply Company (LESCO).

According to the disclosure, installation of the solar system and load enhancement is expected to be completed within four months. Once operational, the 5MW system is projected to generate around 600,000 kWh of electricity per month.

BECO Steel estimates that the project will result in cost savings of approximately Rs16.8 million per month, translating into annual savings of about Rs201 million.