Pakistan and Chinese Firm Ink $200M Deal to Transform Thermal Plant into Solar Power

Islamabad, Pakistan has entered into a $200 million memorandum of understanding with a Chinese company to transition an existing thermal power plant into a solar power facility.

According to Ministry of Information and Broadcasting, the project, managed by the Special Investment Facilitation Council (SIFC), aims to convert the plant to a 300 MW solar power capacity. This transformation is expected to produce 400 million units of electricity annually at a substantially reduced cost, cutting the price per unit from forty-five rupees to fourteen rupees.

The shift from Heavy Fuel Oil (HFO) usage will not only improve environmental sustainability but also project significant economic benefits. It is anticipated to save approximately forty-four million dollars each year on import bills, providing attractive returns to stakeholders involved.