K-Electric announces 700MW power project to serve energy demands of Karachi.

Karachi -- K-Electric, Pakistan's only vertically integrated power utility has signed an agreement with the state-owned China Machinery Engineering Corporation (CMEC) for the development a state-of-the-art 700MW IPP based power project at Port Qasim, Karachi.

The project was formally announced at the Pakistan Trade and Investment Forum held alongside the 2nd Belt and Road Forum in Beijing, China. The project agreement and contracts were signed by MoonisAlvi, Chief Executive Officer K-Electric and Zhang Chun, Chairman CMEC in the presence of Abdul RazakDawood, Adviser for Commerce, Textile, Industry and Production and Investment. This is a milestone project in the economic cooperation between China and Pakistan and will directly benefit Karachi, Pakistan's economic hub.

Abdul Razak Dawood, Adviser for Commerce, Textile, Industry , Production and Investment shared, 'I am sure that this is just one of a series of joint endeavors in the future that will translate into a win-win for shared prosperity in the region and beyond. Stable electricity supply infrastructure is critical for the country's sustainable progress, trade and industries and I urge all stakeholders to work together for its early completion to maximize the benefits to Karachi and Pakistan.

The project is being developed under an IPP mode structure, with K-Electric as the single off-taker. KE holds equity share in this IPP whereas CMEC is both an equity partner and EPC (Engineering, Procurement and Construction) contractor. The power project already has an approved tariff from NEPRA, whereas land has also been acquired in Port Qasim area of Karachi for the project.

On the occasion of the signing, Zhang Chun, Chairman CMEC lauded Pakistan as a land of opportunities with tremendous economic potential. 'We are delighted to be a part of this landmark occasion today and are confident about the role of this power plant in addressing Karachi's power needs and look forward to increased economic cooperation between China and Pakistan in future as well,' he said.

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