NTDC revises its three-year investment plan.

National Transmission and Despatch Company Limited (NTDC) has revised its three years investment plan, seeking NTDC NEPRA nod for investment of Rs 510 billion. Delay by the company in the execution of 42 projects has resulted in cost escalation of Rs 180 billion.

In its revised investment plan for tariff control period from FY2022-23 to FY2024-25 National Transmission and Despatch Company Limited (NTDC) has sought NEPRA nod for the investment of Rs30.269 billion in five Special Economic Zones under China Pakistan Economic Corridor (CPEC).

In the revised plan, NTDC has sought NEPRA nod for investment of Rs 510 billion, which includes Rs128.322 billion for FY2022-23, Rs183.754 billion for FY2023-24 and Rs198.030 billion for FY 2024-25. In its petition, NTDC has claimed an investment of Rs30.269 billion for Special Economic Zones, Rs 6.616 billion for land acquisition of solar power plants in Muzatargarh, Jhang and Layyeh, Rs335.098 billion for PSDP funded ongoing works related to power evacuation and load growth projects, Rs130.232 billion for PSDP funded new works related to power evacuation and load growth projects, Rs15.340 billion for self-finance ongoing scheme, Rs 4.255 billion for completed works through PSDP/own resources, and Rs. 6.195 billion for completed works through foreign funding. NEPRA will conduct hearing on NTDC petition on November 15-16.

NEPRA has framed several issues for the hearing including;

Whether the proposed investment plan takes into account the demand forecast of Discos? Whether the demand forecast made by Discos and NTDC is justified?

Whether the cost overrun of Rs 180.382 billion in 42 projects is justified? NTDC will explain the reasons for cost overrun in each project and steps taken to avoid...