KARACHI, Dec 29: The Karachi Electric Supply Company has announced that it plans to convert two units at the Bin Qasim power plant from furnace oil to gas in order to bring down electricity tariff for consumers.

“We have also planned to import 200 cmf LNG per day and this will help reduce our power generation cost to Rs4 to Rs5 per unit,” KESC Chief Executive Officer Tabish Gauhar said, adding that the company could also generate 30 to 50 megawatts per day from bio-mass. Giving details of KESC plans during his meeting with members of the Karachi Chamber of Commerce & Industry (KCCI) here on Wednesday along with a team of his senior colleagues, Mr Gauhar said “the more gas provision to the KESC, the lower the tariff we will offer.” He said the company had initiated setting up of a 560MW power plant at a cost of $400 million local and foreign investment.

It would start generating up to 300MW next year and would be fully commissioned by April 2012, he said.

He told KCCI members that the power utility had entered into an agreement with a British firm engaged in coal mining at Block-6 of Thar Coal Fields. Under the agreement, the British firm would provide coal to the KESC for its 300-350MW power plant to be established there, he added.

He said that 50 per cent of KESC power generation plants were not operating for want of gas supply.

Earlier, many sitting and former KCCI office-bearers and representatives of business community highlighted the serious problems and huge losses being faced by the trade and industry because of the intensive loadshedding, excessive power tariff and lingering electricity-related problems.—APP