Pakistan’s Thar Coal and Energy Board has said that the country could save about $7-8bn annually if the existing thermal power plants are converted from furnace oil to coal. The Board said that there is 2976 MW of capacity in GenCos and 2150 MW in IPPs that can be converted to coal at a total cost of $1.5-1.8bn.

The Board also said that coal power generation will reduce the electricity tariff by 8-10 cents/kWh, and that initially, these plants could use imported coal until sufficient Thar coal became available.

Qaim Ali Shah, chief minister of Sindh, said that the federal government is fully committed to development of Thar coal, which has the potential of turning the country’s economy around. He said: “Thar coal resources can be used for power generation and has the potential of providing cheap energy security to the country.”

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