GE Power has won equipment and services deals worth more than $60m for a period of 12 years for the 330MW Thar Energy (TEL) Power Plant in Pakistan.


Image: GE Power has signed an agreement to supply equipment for the Thar Energy Limited Power Plant in Pakistan. Photo: Courtesy of General Electric.

The TEL Power Plant is owned by Thar Energy – a consortium comprising Hub Power Company (Hubco), Fauji Fertilizer (FFC) and China Machinery & Engineering Corporation (CMEC), GE Power said.

The power plant will use Pakistani lignite coal from the Thar Block II mine. It will supply power to the national grid under a 30-year power purchase agreement (PPA).

The TEL power plant is expected to begin commercial operations in March 2021, and will provide electricity to 600,000 Pakistani households.

TEL is part of the 1,320MW (4x330MW) Thar Block II integrated-mining and power plant plan, which is included in the China Pakistan Economic Corridor (CPEC) program.

HUBCO CEO Khalid Mansoor said: “We are committed to supporting Pakistan in achieving power self-sufficiency and our focus on using our country’s own resources is testament to this.

“In driving the TEL project, we are using proven world-class technology by GE, which has demonstrated its long-term efficiency and reliability using similar fuels internationally.

“The inclusion of a multi-year services agreement furthers GE and Hubco’s cooperation, and not only marks a new milestone in our long-lasting relationship but also in Pakistan’s ambitions for a secure energy future.”

Currently, Hubco produces 1,601MW through three plants located at Hub, Narowal and Azad Jammu Kashmir.

This is the only power producer in Pakistan that is executing three projects worth more than $3bn, listed in the China Pakistan Economic Corridor (CPEC) – the 1,320MW imported coal-based China Power Hub Generation Company (CPHGC) at Hub, the 330MW Thar lignite-based Thar Energy (TEL) at Thar, and the Sindh Engro Coal Mining Company (SECMC) developing Block II of Thar Coal Field.

GE will provide advanced Circulating Fluidized Bed (CFB) boiler and its steam turbine generator technology for the TEL Power Plant.

Under the 12-year agreement, GE will provide critical services for improved operations of the boiler and steam turbine generator.

GE and Hub Power Services (HPSL), a wholly owned subsidiary of Hubco, have also signed an Operations & Maintenance (O&M) Collaboration Agreement under which the two companies will explore opportunities to jointly provide O&M services to coal-fired power plants in Pakistan and the Middle East and North Africa region.