KARACHI: Stakeholders have agreed to fast-track arrangements to supply indigenous Thar coal to the 660MW Jamshoro Power Project, a move projected to save Pakistan about $3.2 billion and reduce reliance on imported fuel.

A meeting at Thar Block-1 mine brought together K-Electric Chairman Shaheryar Arshad Chishty, Thar Coal Energy Board (TECB) Managing Director Tariq Ali Shah, Sino Sindh Resources Ltd (SSRL) Chief Executive Officer Li Jigen, Jamshoro Power Company Ltd (JPCL) CEO Muhammad Abdul Vakil and representatives of the Private Power and Infrastructure Board.

Discussions centred on coal supply during the project’s interim blended-coal operations and after its planned conversion to 100 per cent Thar coal by 2029. The conversion was also linked to KE’s broader generation transformation aimed at aligning its portfolio with local fuel.

Mr Chishty said K-Electric had funded a bankable feasibility study by a German firm Dornier Power and Heat GmbH, which found the conversion technically and economically viable. The study estimated $3.2bn in economic benefits over the project’s remaining life and significant foreign-exchange savings.

To meet demand, the SSRL CEO confirmed readiness to double Block-1 output from 7.8 million tonnes per annum to 15.6 MTPA. Mr Li said the expansion would use electric mining vehicles and modern excavators to lower costs and emissions.

The parties resolved to finalise a coal supply agreement soon, while TCEB pledged regulatory facilitation to reduce tariffs for consumers.

Published in Dawn, July 30th, 2026