CEB to Purchase 100MW

By M.Rishar.M.Saleem

A communiqué issued by the Ministry of Power and Energy notes that 100Mw is urgently needed by the National Grid from October 2017 to maintain uninterrupted power supply. The Ministry statement emphasizes this is a short-term measure and the Government intends to purchase this immediate need through international bids.

The water levels of the hydropower reservoirs have dropped as the expected monsoon rainfall during the last year and up to this year has not been adequately received. The prevailing drought is expected to last longer, rather unexpectedly.

The Power and Renewable Energy Ministry will call for international bids to select power generators to purchase the 100 Mw for a period of six months from October. The emergency power will be connected to the national grid when a challenging time is encountered.

The communiqué from the ministry stressed that despite Government regulations to allow the purchasing of power without competitive bidding for emergency purchases, the ministry had decided otherwise and will follow the tender process to ensure transparency.
The Cabinet of Ministers’ approval was granted to the proposal presented by the Minister of Power and Renewable Energy to procure a supplier for generators on a short-term basis at competitive prices through open-competition bidding.

Refuting the claims made by some, the ministry notes that the purchase of additional power will not be a burden on the consumer; the Government believes the situation can be managed without imposing extra burden on both consumers and the general public.
Early this year, CEB purchased 60 Mw through open competitive bids and paid lower rates to purchase, compared to earlier purchase prices.

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