ISLAMABAD: The National Assembly has been informed that the 6,600MW Gadani energy park will not be completed during the tenure of the PML-N government (till 2018).

“No decision has been taken to shelve the Gadani power project. However, the project has been included in the list of actively promoted projects under the China-Pakistan Economic Corridor projects,” Minister for Water and Power Khwaja Mohammad Asif said in a written reply to a question by Dr Nafisa Shah of the PPP.

Know more: 6,600MW Gadani power project put on back burner

The minister said Rs225.996 million had been incurred on the project for preparation of its master plan, various feasibility studies, surveys, etc., conducted by the consultant Nespak, including miscellaneous administrative operational expenditures.

An official of the water and power ministry told Dawn that that projects planned under the Pak-China Economic Corridor had been divided into two categories.

The projects under Pak-China Early Harvest Programme will be completed during the tenure of the present government, while actively promoted projects will remain in the pipeline.

He said problems with PC-1 and lack of commitment by Chinese investors led to switching of the Gadani power project from early harvest programme to the actively promoted category. The project was conceived in haste which lacked economic viability, therefore, potential investors shied away from it, forcing the government to review its plan, the official said.

According to initial estimates, an investment of about $10 billion was required for the project.

Published in Dawn, March 27th, 2015

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