Key Statistics
- Punjab derives its name from the five rivers flowing through the province (Sutlej, Beas, Ravi, Chenab and Jhelum). Punjab is home to over 90 million people
- Location: 27. 40°/ to 34.01° N and 69.20°/ to 75.20° E latitude & longitude
- The installed electricity generation capacity is about 38,719 MW, presently out of which 9,861 MW comes from hydropower
- The identified hydropower potential in the country is approximately 60,000 MW
- Punjab consumes 68% of generated national power
- The current energy mix is 26% hydropower and 72% thermal
- Punjab has the world’s largest contiguous irrigation canal network, about 23,712 miles long
- Punjab Government invites the private sector to invest in power stations at raw sites on canals and rivers. There is about hydropower untapped potential of 419 MW on canal falls / rivers
- Punjab Power Development Board is currently facilitating the development of 265 MW capacity hydropower projects in IPP mode
Solicited Hydropower Sites in Punjab
Pakpattan |
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Parameter | Unit | Pakpattan |
Location | - | District Pakpattan |
Canal | - | Canal RD-112 |
Design Capacity | MW | 3.2 |
Design | m3/sec | 84 |
Discharge Gross Head | m | 4.5 |
Annual Generation | Gwh | 22.7 |
Cost | UD$ | 7.30 |
EIRR | % | 17 |
FIRR | % | 9.10 |
Okara |
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Parameter | Unit | Okara |
Location | - | District Okara |
Canal | - | LBDC RD-196 |
Design Capacity | MW | 04 |
Design | m3/sec | 150 |
Discharge Gross Head | m | 3.2 |
Annual Generation | Gwh | 27.6 |
Cost | UD$ | 10.80 |
EIRR | % | 14 |
FIRR | % | 6.70 |
Deg-out |
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Parameter | Unit | Deg-out |
Location | - | District Sheikhupura |
Canal | - | UCC RD-283 |
Design Capacity | MW | 05 |
Design | m3/sec | 150 |
Discharge Gross Head | m | 04 |
Annual Generation | Gwh | 29.1 |
Cost | UD$ | 11.10 |
EIRR | % | 14.50 |
FIRR | % | 7.10 |
Chianwali |
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Parameter | Unit | Chianwali |
Location | - | District Gunranwala |
Canal | - | UCC RD-128 |
Design Capacity | MW | 5.4 |
Design | m3/sec | 150 |
Discharge Gross Head | m | 4.3 |
Annual Generation | Gwh | 32.2 |
Cost | UD$ | 11.80 |
EIRR | % | 15.70 |
FIRR | % | 8.10 |
Marala |
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Parameter | Unit | Marala |
Location | - | District Sialkot |
Canal | - | UCC RD-000 |
Design Capacity | MW | 7.2 |
Design | m3/sec | 350 |
Discharge Gross Head | m | 2.5 |
Annual Generation | Gwh | 48.5 |
Cost | UD$ | 16.30 |
EIRR | % | 16.30 |
FIRR | % | 8.60 |
Khokhra |
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Parameter | Unit | Khokhra |
Location | - | District Mandi Bahauddin |
Canal | - | Gujrat Branch RD-2.5 |
Design Capacity | MW | 2.8 |
Design | m3/sec | 41 |
Discharge Gross Head | m | 9.8 |
Annual Generation | Gwh | 20.7 |
Cost | UD$ | 4.20 |
EIRR | % | 22.88 |
FIRR | % | 12.77 |
Canal - Raw Sites (Without Feasibility) |
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Location | Discharge m3/sec | |
T. S. Link Canal | RD 0+000 | 311.49 |
C. J. Link | RD 0+000 | 614.50 |
Thal Main Line UCC | RD 212+500 | 90.87 |
Tail Main Line UCC | RD 133+298 | 315.00 |
Main Line L.C.C. | RD 0+000 | 230.58 |
Lower Chenab Canal | RD 140+050 | 136.00 |
Upper Gogera | RD 214+000 | 132.52 |
Thal Canal | RD 0+000 | 113.27 |
B.R.B.D Link Canal | RD 0+000 | 146.55 |
B.R.B.D. Link Canal | RD 433+958 | 64.17 |
Canal - Raw Sites (Without Feasibility) |
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Location | Fall (M) | |
T. S. Link Canal | RD 0+000 | 0.87 |
C. J. Link | RD 0+000 | 2.75 |
Thal Main Line UCC | RD 212+500 | 3.09 |
Tail Main Line UCC | RD 133+298 | 2.45 |
Main Line L.C.C. | RD 0+000 | 2.62 |
Lower Chenab Canal | RD 140+050 | 2.16 |
Upper Gogera | RD 214+000 | 2.38 |
Thal Canal | RD 0+000 | 3.37 |
B.R.B.D Link Canal | RD 0+000 | 1.70 |
B.R.B.D. Link Canal | RD 433+958 | 5.23 |
Canal - Raw Sites (Without Feasibility) |
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Location | Power Potential (MW) | |
T. S. Link Canal | RD 0+000 | 2.20 |
C. J. Link | RD 0+000 | 13.86 |
Thal Main Line Lower Canal | RD 212+500 | 2.30 |
Tail Main Line L.C.C. | RD 133+298 | 4.24 |
Main Line L.C.C. | RD 0+000 | 4.95 |
Lower Chenab Canal | RD 140+050 | 2.40 |
Upper Gogera | RD 214+000 | 2.58 |
Thal Canal | RD 0+000 | 3.13 |
B.R.B.D. Link Canal | RD 0+000 | 2.00 |
B.R.B.D. Link Canal | RD 433+958 | 2.75 |
Fiscal and Financial Incentives
- Mandatory purchase of power generated by IPPs
- The Power Purchase will ensure grid connection, off take voltage and interface
- Wheeling arrangements
- Bonus incentive on power production more than the bench mark level
- NEPRA (National Electric Power Regulatory Authority) is in a process of announcing FIT (Feed in Tariff) for small hydropower projects soon
- Hydropower projects can be implemented on Build-Own-Operate-Transfer (BOOT) basis or on other negotiable mechanism
- GOP will guarantee the terms of executed agreements including payment terms
- No custom duty or sales tax for machinery, equipment and spares
- Exemption on income tax including turnover rate tax and withholding tax on import
- Repatriation of equity along with dividends freely allowed
- Non-Muslims and non-residents exempted from payment of zakat on dividend paid by the company
- Power generation companies can issue corporate registered bonds and shares at discounted prices
- Foreign banks can underwrite shares and bonds issued by private power companies
- Non-residents can purchase securities issued by Pakistani companies
- Abolition of 5% limit on investment of equity in associated undertakings
- Independent rating agencies are operating in Pakistan to facilitate investors in making informed decisions
- Government of Pakistan will guarantee the terms of executed agreements including payment terms
- Sovereign Guarantee by the Federal Government
Punjab Power Generation Policy 2009
- Projects may be developed on Raw / Solicited sites
- Concessions in duties / tax regime announced by Government of Pakistan are applicable for projects developed under the policy
- Standard formats of Power Purchase Agreement (PPA), Implementation Agreement (IA) and Water Usage Agreement (WUA) are available
- Water use charges at Rs.0.425 / (Kwh) as per Federal Power Policy
- Dispersal of power can be made by:
- Sale to dedicated industry
- Sale to local area by establishing distribution network
- Sale to utility company (NTDC / DISCO),
- Use of Government land is allowed in following two modes:
- Lease
- Through equal equity participation
- Mode of investment for Hydropower is:
- Build, Own, Operate, Transfer basis (BOOT)
- PPP
Unsolicited Proposals (Raw Sites)
- The proposals for which feasibility studies are not available can be developed for power generation and are classified as unsolicited proposal / raw sites
- The process includes invitation of Expression of Interest through press, registration and pre-qualification. The highest ranking sponsor is selected, who is issued Letter of Interest (LOI) authorized to carry out feasibility studies within 12 months
- Tariff will be negotiated between sponsor and power purchaser and approved by NEPRA Letter of Support (LOS) will be issued for a period of twelve months to execute agreement (IA, PPA and WUA) and to achieve financial close
Solicited Proposal
- Proposals will be solicited from investors for projects for which feasibility is available
- Process of selection involves invitation of competitive bidding through press
- For competitive bidding, selection process will involve pre-qualification, issuance of RFP, bid, evaluation and award
- Lowest bidder in terms of tariff is selected, who will get tariff approved from NEPRA
- Letter of Support (LOS) will be issued for a period of twelve months to execute project agreements and achieve financial close