KARACHI, June 16: A senior officer of the Sindh government has blamed the Water and Power Development Authority for obstructing the setting up of a coal-based power plant in Thar.

At a post-budget press conference here on Saturday, the officer disclosed that a Honk Kong-based Chinese investor had agreed to set up an 800MW power plant sometime ago and almost all formalities had been finalised.

The Chinese investor had sought a tariff of 5.7 cents per unit but Wapda insisted on 4 cents a unit. There was only a difference of 0.3per cent in the tariff being demanded by the investor and that offered by Wapda. The deal was later scrapped.

Now Hubco is being paid more than 6.5 cents a unit. Windmill operators have been given an assurance of 11 cents a unit.

“Had Wapda not shown obstinacy on tariff in 1996, there would have been a coal-based 800MW plant and many more might have come to Pakistan,’’ said the official who pointed out that coal still remained the main fuel for power generation in the US, Europe, China and India, besides many other parts of the world.

Thar boasts of having more than 95 per cent of Pakistan’s coal reserves. The Hassan Associates has been given an approval in principle to go ahead for setting up a coal-based plant. Another company is negotiating for coal-based electric power generation. Many companies have shown interest in coal exploration in Thar.