KARACHI (July 16 2008): Azad Jammu & Kashmir (AJK), which has invited $40 billion of foreign investment in hydel energy sector as a part of its energy and investment-focused strategy during FY2008-09, has a plan to provide electricity to the power-hungry Pakistan which is facing 4,000MW shortage.

"Pakistan has a shortage of 4,000MW while Azad Kashmir has the potential to generate 17,000MW of electricity, for which we have invited $40 billion foreign investment in the energy sector," Prime Minister of Azad Jammu & Kashmir (AJK) Sardar Attique Ahmed Khan told Business Recorder in an exclusive interview.

The AJK premier said his government had formulated a policy based on energy and investment for fiscal year 2008-09 under which no sales tax would be collected for 10 years on foreign investment in different energy sectors like hydel, solar, wind mill, bio diesel, fuel cell etc.

"We have the intention not only to provide electricity to Pakistan but also sell out the surplus to other regional countries like India," he added. The AJK Prime Minister said the investors would get the 10-years sales tax exemption even on the bio-products. The investment-based policy, he said, would also create employment opportunities in AJK, which would ultimately help the government alleviate the menace of poverty in the region.

He said some foreign investors were showing interest in response to his government's incentives in the energy sector. A Donors' Conference, to be held next month in AJK, would also focus on this matter, he added. On the political front, the premier said he was trying hard to convince Islamabad for associating a representative from AJK in the Sindh government as, he said, 2.1 million displaced Kashmiris must have a representation in the province.

To a query on the hurdles in the implementation of United Nations' 1948 resolution on Indian occupied Kashmir (IoK) the AJK premier said: "Right now the difficulty lies in the presence of mistrust, sense of victory and defeat and the money being spent by Pakistan and India over this dispute."

He said successive governments in Pakistan and India had persistently been striving to resolve the longstanding dispute which, he said, has become more "complex" with the passage of time. Khan said a non-serious attitude of New Delhi in terms of fulfilling its pledges was another major setback to the long-awaited peaceful resolution of IoK issue.

Referring to other national and international issues, like Freedom Movement in the SubContinent from 1857 to 1947, Good Friday Agreement of Northern Ireland etc, the AJK prime minister said the Kashmir issue would, however, take some time to be resolved.


To a query he said his government had no controversy with the Muttahida Qaumi Movement (MQM) which, he said, was a national level party and "would behave responsibly in all situations". When asked about MQM's protest on his arrival in Pakistan, the AJK premier said the protest was held by a few youth, who would soon be disowned by the "mature" leadership of the Movement.
http://www.brecorder.com/index.php?id=7697...m=&supDate=

hmm wonder how he gona generate all that electricity, hope he not planning to turn whole kashmir in to a dam, although mangla dam covers much of it.

True. For hydrel power it needs a huge lake and also a big displacement of people and frams.
Only relocation can cost billions dollar to start with.

Companies submit bids for 1,500MW projects


ISLAMABAD - As many as nine national and international companies have submitted their bids for 1,000MW independent power plants and 500MW rental private power plants.
These tariff bids were opened in the presence of Managing Director PPIB Fayaz Elahi, senior officials of the Ministry of Water and Power, bidders and media persons here on Saturday at Private Power and Infrastructure Board headquarters.

Out of total, six companies submitted their financial bids of overall 1,575MW against 1,000MW cumulative power generation capacity while three companies submitted their bids of overall 648 MW against 500MW rental power projects.

Those companies submitted financial bids for 1,000MW IPP included Attock Power Generation (203MW) at Mandibahudin (tariff for 25 years 13.9893 cents per Kwh), Curative Energy (160MW) at Chakwal (tariff for one year 11.7199 cents per kwh), Caviliar Energy and Defence System (500MW) at Port Qasim (one year tariff is 13.2418 cents per kwh/tariff for 25 year is 11.5368 cents per kwh), Progas Energy Limited (345MW) Port Qasim (11.0450 cents per kwh 25 year levelized tariff), Ruba Energy Pakistan (166 MW) at Kala Shah Kako (14.9786 cents per kwh levelized tariff for 25 years/ 14.4137 cents per kwh for first year) and Saba Power Generation Company Limited (171MW) at Arifwala (16.9639 cents per kwh tariff for one year/ 16.2550 cents per kwh levelized tariff for 25 years).

Three companies submitted financial bids against 500MW rental power included Caviliar Energy and Defence System (200MW) at Port Qasim (15.22 cents per kwh tariff for five years), Karkey (248 MW) at Karachi (18.6288 cents per kwh tariff for five years) and Walters Power (200MW) at Kurangi, Karachi (17.43 cents per kwh tariff for five years). Managing Director PPIB Fayaz Elahi while talking to journalists said that after approval from the federal cabinet these tariff will be submitted to National Electric Power Regulatory Authority (NEPRA) for review and notification.
He said the successful companies will start operational work in six months in rental power while IPP will start operations in 12 months after cabinet approval and receiving letter of support.
He said that bidding of power projects has been started to overcome power shortfall being faced by the country, adding, the step is part of government’s short-term strategy to increase power generation.
Besides, he said long-term and medium-term strategies are also being initiated to generate more electricity in the country.
Replying to a question, he said “6,000MW IPPs are operating in the country and we don’t have any significant problem with them so in future we expect smooth working relations with IPPs.” The government had opened international competitive bidding for setting up 1,000MW Independent Power Plants in different parts of the country and 500MW rental power plants in Karachi on July 15. Through process the government received bids of 3,006MW power for setting up 1,000MW IPPs and over 778MW bids for setting up 5,00MW rental power plants in Karachi. Nine parties participated for 1,000MW IPPs, whereas three parties took part for 500MW rental power plants.

nonesense its never going to happen

Three things i totally oppose;

1. Further raising Mangla dam - It's already massive and is surrounded by properpus towns and cities, buy raising it and flooding it you are setting the mirpur district back 60 years. It would be pure discrimination.

2. Bio-Fuels. these are total BS. We cannot grow enough food as it is, the last thing you need is the food being grown in Azad Kashmir to become bio-fuel crop. Bio-fuels are a fad that will disappear, food never will. We need to invest in agriculture across the entire Pakistan and grow food to use domestically and to export to a market that will only finish once mankind finishes.

3. Any dealings with India. What kind of penchoud shameless harami is this guy? On the one hand our people suffer across the line of control, on the other hand dogs like him and his business associates want to do devils with the same people that are destroying us, yet at the same time expect Pakistan to protect them.

i agree with you brother, Mangla dam is already massive and so many people had to sacrifice there land for it, they not even been payed money for it even though the leaders said they will be paid etc. and also they said that the people who had to vacate their land cz of mangla dam will be given land etc n dat is a lie too, its true land has been givien to some people but really anyone can go buy dat land and corrupt people got all dat land, government knw it but dnt give a crap. what i wud suggest is build a dam near lahore, lets see if they let dat happens, trust me the national government wud be bought down within a month, also why not make that damn in sindh bigger, after so many years of negotiations(time wasting) they agreed not to make it bigger, which is obvious cz ppl wont vacate their land cz its hard to leave ur house n land.

basicaly wt am tryin2 say is the pakistani government onli listen 2 ppl in power and pick on those dat are powerlesss. no wonder pakistan gettin destroyed. i wud suggest building smaller damns, which maybe expensive but trust it really good solution.

May be WAPDA or GOP also controle electricity thief. There are people who run their AC day and night and pay ony 100 rupee bill!!! that kind of people should be struf.

I think as many as 30% is lost on electricity, including those theft and also the wiring are of low standard again due to WAPDA and GOP. Very sad....