The Thar Block-1 integrated coal mine and power project (“the Project” or “Thar Project”) of Shanghai Electric in Pakistan officially entered commercial operation on February 5, 2023, after both units passed the Reliability Run Test successfully after 168 hours’ full-load operation. The Project will provide about 9 billion kilowatt-hours of clean electricity to the local grid every year, meeting the power demands of nearly 4 million households.
“The Project represents Shanghai Electric’s first Build- Own-Operate (BOO) project, developed, constructed and operated with a total investment of nearly USD3 billion. Since construction began in March 2019, we are delighted to have effectively addressed the local power shortage issue with our technology and complete solutions. Through our partnership with local stakeholders and utilizing local fuel, we are making significant contributions to lower energy prices, improve energy structure, alleviate the energy importing crisis, and strengthen national energy security,” said Donghai Meng, Director CEO of Thar Coal Block-I Power Generation.
The Project, with a total capacity of 1320 MW, is supported by an open-pit coal mine that produces 7.8 million tons of lignite (brown coal) annually. The Project includes equipment with advanced technology, such as high-parameter steam turbines, generators, tower type boilers, high-pressure heaters, low-pressure heaters, condensers, de-aerators, 108 supporting motors, blowers, induced draft fans, cooling fume fans, and low-temperature economizers, all provided by Shanghai Electric. It will serve as a benchmark for the utilization of Thar energy in the future because of its tailor-designed technology that fits Pakistan’s local fossil fuel needs.
Empowering the local community
The Thar Project not only represents a significant milestone for Shanghai Electric but also contributes to the social and economic development of the local community. In addition to providing over 15,000 jobs during the construction and paying more than US$120 million in taxes, the Project has provided vocational training to local employees and donated funds to establish a Chinese language school for international cultural exchanges. This commitment to improving the lives of local people, protecting the environment, and promoting economic development has brought new vitality into the Thar region, demonstrating Shanghai Electric’s dedication to building projects that empower communities.
The Project is a testament to Shanghai Electric’s commitment to collaborating with local stakeholders to create long-term, sustainable solutions, and involved multiple rounds of discussion and consultation with local government, village headmen, and resident representatives to ensure a stable power supply throughout the open pit mine’s life cycle. Aiming to promote ecological construction through the adoption of a sprinkler irrigation system to enhance the ecological construction of the open pit mine, the Project also assisted the local government in resettling indigenous people in the mining area, improving their living conditions and access to clean water and electricity. By prioritizing local collaboration and sustainable development, Shanghai Electric has set a new standard for responsible energy solutions.
Moving forward, Shanghai Electric will continue to actively fulfill its corporate social responsibility and advance its work with local communities for a better future.
