National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang...

36
National Electric Power Regulatory Authority Islamic Republic of Pakistan NEPRA Tower, Attaturk Avenue (East), G-5/1, Islamabad Ph: +92-51-9206500, Fax: +92-51-2600026 Web: www.nepra.org.pk , E-mail: [email protected] Registrar No. NEPRA/R/DL/LAG-353/ -- IVS 91 1 Mr. Liu Yongjun Chief Executive Officer, Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers, D-67/1, Block 4, Clifton, Karachi May 23, 2017 Subject: Grant of Generation Licence No. IGSPL/79/2017 Licence Application No. LAG-353 Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG) Reference: DPKPG's application vide letter dated June 13, 2016 (received on 14-06-2016). Enclosed please find herewith Determination of the Authority in the matter of Application of "Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG)" for the Grant of Generation Licence along with Generation Licence No. IGSPL/79/2017 annexed to this determination granted by the National Electric Power Regulatory Authority (NEPRA) to Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG) for its 700.0 MW Imported Coal based Generation Facility at Plot No. EIZ/LUSP-09, Port Qasim Area, Bin Qasim Town, Karachi, in the Province of Sindh, pursuant to Section 15 of the Regulation of Generation, Transmission and Distribution of Electric Power Act (XL of 1997). 2. Please quote above mentioned Generation Licence No. for future correspondence. Enclosure: Generation Licence No. IGSPL/79/2017. REGISTRAR et Z o I . Chief Executive Officer, K Electric (KEL), KE Ho Phase-II, Karachi 2. Chief Executive Officer, CPPA-G, ENERCON Building, Sector G 3. Chief Executive Officer, NTDC, 414-WAPDA House, Lahore 4. Director General, Environment Protection Department, Government of Sindh, Complex Plot No. ST-2/l, Korangi Industrial Area, Karachi. 5. Chairman, Port Qasim Authority, Bin Qasim, Karachi-75020 Pakistan. 6. Managing Director, Private Power and Infrastructure Board (PPIB), Ground Floors, Tower, Plot No. 10, Mauve Area, Sector G-8/1, Islamabad-Pakistan tIER Copy to: (Syed Safeer Hussain) Main Sunset Boulevard, DHA, -5/2, Islamabad. Emigration

Transcript of National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang...

Page 1: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

National Electric Power Regulatory Authority Islamic Republic of Pakistan

NEPRA Tower, Attaturk Avenue (East), G-5/1, Islamabad Ph: +92-51-9206500, Fax: +92-51-2600026

Web: www.nepra.org.pk, E-mail: [email protected] Registrar

No. NEPRA/R/DL/LAG-353/ --IVS 911

Mr. Liu Yongjun Chief Executive Officer,

Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers, D-67/1, Block 4, Clifton, Karachi

May 23, 2017

Subject: Grant of Generation Licence No. IGSPL/79/2017 Licence Application No. LAG-353

Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG)

Reference: DPKPG's application vide letter dated June 13, 2016 (received on 14-06-2016).

Enclosed please find herewith Determination of the Authority in the matter of Application of

"Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG)" for the Grant of

Generation Licence along with Generation Licence No. IGSPL/79/2017 annexed to this

determination granted by the National Electric Power Regulatory Authority (NEPRA) to Datang

Pakistan Karachi Power Generation (Private) Limited (DPKPG) for its 700.0 MW Imported Coal

based Generation Facility at Plot No. EIZ/LUSP-09, Port Qasim Area, Bin Qasim Town, Karachi, in

the Province of Sindh, pursuant to Section 15 of the Regulation of Generation, Transmission and

Distribution of Electric Power Act (XL of 1997).

2. Please quote above mentioned Generation Licence No. for future correspondence.

Enclosure: Generation Licence No. IGSPL/79/2017.

REGISTRAR et

Zo

I . Chief Executive Officer, K Electric (KEL), KE Ho Phase-II, Karachi

2. Chief Executive Officer, CPPA-G, ENERCON Building, Sector G

3. Chief Executive Officer, NTDC, 414-WAPDA House, Lahore

4. Director General, Environment Protection Department, Government of Sindh, Complex Plot No. ST-2/l, Korangi Industrial Area, Karachi.

5. Chairman, Port Qasim Authority, Bin Qasim, Karachi-75020 Pakistan. 6.

Managing Director, Private Power and Infrastructure Board (PPIB), Ground Floors, Tower, Plot No. 10, Mauve Area, Sector G-8/1, Islamabad-Pakistan

tIER

Copy to: (Syed Safeer Hussain)

Main Sunset Boulevard, DHA,

-5/2, Islamabad.

Emigration

Page 2: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

National Electric Power Regulatory Authority (NEPRA)

Determination of the Authority in the Matter of Application of Datanq Pakistan Karachi Power

Generation (Private) Limited for the Grant of Generation Licence

May 17, 2017 Case No. LAG-353

(A). Background

(i). K-Electric Limited (KEL) is providing the electric power services in

the metropolitan city of Karachi and its adjoining areas. In this regard, the

Authority had granted three (03) separate licences to KEL for Generation,

Transmission and Distribution services. In order to meet with its requirements,

KEL has its own existing generation fleet with an installed capacity of about 1875.00 MW.

(ii). The demand of the city of Karachi and its suburbs is rising

exponentially. In view of the said, the abovementioned installed capacity is not

sufficient to meet with the future load requirements. Therefore, KEL has planned

addition of more generation capacity in its system through a joint venture with

Chinese investors for setting up a new 700.00 MW imported coal based generation facility.

(B). Filing of Application

(i). In accordance with Section-15 of Regulation of Generation,

Transmission and Distribution of Electric Power Act, 1997 ("the NEPRA Act"),

Datang Pakistan Karachi Power Generation (Pvt.) Limited (DTGPKPGPL)

submitted an application on June 14, 2016 requesting for the grant of generation licence.

Page 3: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Page 2 of 15

(ii). The Registrar examined the submitted application to confirm its

compliance with the NEPRA Licensing (Application and Modification Procedure)

Regulations, 1999 ("the Licensing Regulations") and observed that the application

lacked some of the required information/documentation. Accordingly,

DTGPKPGPL was directed for submitting the missing information/documentation

which was submitted on June 21, 2016. The Authority considered the matter in its

Regulatory Meeting (RM-16-482), held on August 18, 2016 and found the form

and content of the application in substantial compliance with Regulation-3 of the

Licensing Regulations. Accordingly, the Authority admitted the application for

consideration of the grant of the generation licence as stipulated in Regulation-7

of the Licensing Regulations. Further, the Authority approved the advertisement

containing the prospectus and a notice to the general public about the admission

of the application of DTGPKPGPL, inviting to submit their comments in the matter

as stipulated in Regulation-8 of the Licensing Regulations. The Authority also

approved the list of the relevant stakeholders for providing their comments or

otherwise to assist the Authority in the matter. Accordingly, the advertisement was

published in one Urdu and one English National Newspaper on August 23, 2016 respectively.

(iii). Apart from the above, separate letters were also sent to

Government Ministries, their attached departments, representative organizations

and individual experts etc. on August 23, 2016. The said stakeholders were

directed for submitting their views/comments for the assistance of the Authority.

(C). Comments of Stakeholders

(i). In reply to the above, the Authority received comments from seven

(07) stakeholders. These included Ministry of Petroleum & Natural Resources

(MoP&NR), Board of Investment (Bol), Engineering Development Board (EDB),

Ministry of Ports & Shipping (MoP&S), Port Qasim Authority (PQA), Private Power

Infrastructure Board (PPIB) and Ministry of Water and Power (MoW&P). The

salient points of the comments offered by the said stakeholders are summarized in the following paragraphs: -

Page 4: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

(a). MoP&NR submitted that DTGPKPGPL is setting up an

imported coal based generation facility/thermal power

plant at Port Qasim, Karachi. In view of the current

demand-supply gap, the Authority may consider the

grant of generation licence to the company. In this

regard, it is pertinent to mention that huge quantity of

indigenous coal is available in the country and its

mining is expected to start soon. In view of the said,

the company should keep the option to utilize the

same once it is available either in total or through

blending with imported coal;

(b). Bol commented that affordable and smooth supply of

energy is the backbone for industrial growth as well as

attracting FDI in the country. In view of the said, the

proposal of DTGPKPGPL for setting up a 700.00 MW

imported coal based generation facility/thermal power

plant is supported subject to a consumer friendly and

competitive tariff and completion of all codal and

technical formalities in the matter;

(c). EDB stated that presently power plants of capacity of

25.00 MW and above are exempted from payment of

duties and taxes as defined under the relevant

notifications, and no condition for the local

manufacturing is applicable on the import of these

power plants. EDB is of the view that efforts should be

made to utilize the indigenous resources in this regard;

(d). PQA confirmed the allocation 216 acres of land by

way of transfer in Eastern Industrial Zone in favor of

KEL for establishment of 700.00 MW coal fired power

Page 5: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

plant. It was stated that KEL intends to build trestle

and jetty to handle imported coal for self-use and the

same is under examination. PQA supported the grant

of generation licence to DTGPKPGPL to meet with the

shortage of energy in the country;

(e). MoP&S in its comments did not raise any serious

concerns pertaining to the grant of generation licence

but endorsed the comments of PQA as explained above;

(f). PPIB remarked that its Board in its 105th meeting, held

on May 03, 2016 had decided that no power projects

based on imported fuel would be entertained and

processed by PPIB in future. Further, PPIB stated that

in view of the fact that electric power from the project

of DTGPKPGPL would be supplied to KEL, it is

considered appropriate that the Authority may seek

comments of MoW&P in the matter; and

(9). MoW&P in its comments stated that being an imported

fuel project, the ban imposed by the board of PPIB

would also be applicable in this case.

(ii). The Authority considered the above comments of the stakeholders

and in view of the observations of MoP&NR, EDB, PPIB and MoW&P decided to

seek perspective of DTGPKPGPL. On the comments of MoP&NR, it was

submitted that the company has duly considered the use of indigenous coal by

blending it with higher grade imported coal for the project. Regarding the

observations of EDB, it was reiterated that the company shall try its best to utilize

the local facilities available for the project.

Page 4 of 15

Page 6: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

(iii). On the specific comments of PPIB and MoW&P, the company

through KEL submitted that demand of the city of Karachi and adjoining areas is

growing at a rate of around five percent (5%) per annum and peak demand is

expected to reach nearly 4000 MW by 2020 from the current peak demand level

of 3195 MW. In the post privatization era, KEL is required to work independently

and does not enjoy the concessions and benefits under any power policy of the

Government of Pakistan. In view of the said facts, KEL is pursuing an aggressive

plan to add 2500 MW by 2020 through different means. In this regard, KEL has

partnered with Chinese investors for development of a 700.00 MW imported coal

based project. The project has been envisaged on imported coal as there is no

firm commitment for the availability of the indigenous fossil fuels including natural

gas and local coal. In light of the said, the company requested the Authority to

review the applicability of the decision to ban projects based on imported fuels

being set up for supplying to the city of Karachi and the adjoining areas as the

same are not being processed by PPIB, but independently through a Letter of

Intent (Lol) of KEL. Further, it was submitted that KEL is pursuing its own

business plan and such restrictions should not be made binding and applicable on

such projects. KEL should have the same opportunity to move ahead with its main

projects based on imported fuel that is available with projects processed by PPIB

for sale of power to the National Grid. In this regard, KEL requested that the

restriction on setting up power projects based on imported fuel should not be

applicable to projects supplying power to it.

(iv). The Authority considered the above submissions of DTGPKPGPL

and found the same plausible. Accordingly, the Authority considered it appropriate

to process the application of DTGPKPGPL for the consideration of generation

licence as stipulated in the Licensing Regulations and NEPRA Licensing

(Generation) Rules 2000 ("the Generation Rules").

(D). Findinqs/Evaluation

(I). The Authority has examined the case in detail including the

information provided by DTGPKPGPL with its application, feasibility study of the

Page 5 of 15

Page 7: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

project, the grid interconnection study, the received comments of the

stakeholders, filed rejoinders and relevant provisions of applicable rules and

regulations. In this regard, the Authority has observed that the main sponsors of

the project include China Datang Overseas Investment Company Limited

(CDOIC), China Machinery Engineering Corporation (CMEC) and KEL itself.

(ii). The Authority noted that in order to implement the project, the

sponsors in terms of the requirement of the Section-24 of the NEPRA Act,

incorporated a company under Section-32 of the Companies Ordinance 1984

XLVII of 1984 having Corporate Universal Identification No. 0099889, dated May

26, 2016. The registered/business office of the company is located in the province

of Sindh. According to the Memorandum of Association, the objects of the

company, inter alia, include electricity generation and its sale thereof. It is

pertinent to mention that the newly incorporated company has submitted the

current application for the grant of generation licence.

(iii). The Authority observed that the above mentioned sponsors signed

a Joint Development Agreement (JDA) in Sep 2015 and Shareholders Agreement

(SHA) on May 20, 2016 for setting up the proposed 700.00 MW imported coal

fired generation facility/thermal power plant, to be located at Port Qasim Karachi

in the province of Sindh in Pakistan. According to the signed JDA and SHA the

shareholding of the sponsors will be fifty one percent (51%) for CDOIC, twenty

five percent (25%) for CMEC and twenty four percent (24%) for KEL. Further to

the said, the Authority noticed that CDOIC (subsidiary of China Datang

Corporation) undertakes investment, development, construction and management of overseas energy projects.

(iv). In consideration of the above, the Authority also observed that

China Datang Corporation (CDC), the parent company of CDOIC is one of five

(05) largest power generation corporations with assets of more than 127 GW

established in China and outside. CDC is a leading state-owned power generation

enterprise group in China with businesses and interests in the power generation,

coal mining, transportation and logistics and other sectors. The assets of CDC in

Page 6 of 15

Page 8: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

service and under construction are located in 31 provinces of China and Burma,

Laos, Cambodia, Kazakhstan and other countries. CMEC is an internationalized

conglomerate (industry-trade-combined and technology-trade-combined), taking

engineering contracting as its core business and making trade, R&D and

international service as its main business. CMEC has been ranked among

China's top 10 contractors by business turnover from overseas contracted projects.

(v). Further to the above, the Authority is well informed that KEL is the

only vertically-integrated power utility in Pakistan that manages the generation,

transmission and distribution of electricity to the city. KEL covers an area of over

6,500 square kilometers and supplies electricity to all the industrial, commercial,

agricultural and residential areas that come under its network, comprising over 2.2

million customers in Karachi and in the nearby towns of Dhabeji and Gharo in

Sindh and Hub, Uthal, Vindar and Bela in Balochistan. In view of the said, the

Authority is of the considered view that all the sponsors of the project have strong

financial and technical expertise to develop the project.

(vi). The Authority has reviewed the information about the location of

the proposed project and has observed that the same will be located at Plot No.

EIZ/LL/SP-09 Port Qasim Area, Bin Qasim Town, Karachi. The site of the project

is at Eastern Industrial Zone of PQA withjPort Qasim Industrial Park, southeast to

the city of Karachi and on the north bank of Arabian Sea. It is about 37 km from

the city center of Karachi. The south part of the plant borders with the Arabian sea

coast beach and seaway of Port Qasim, and the north part of the plant is in close

neighborhood with the trunk road of the industrial park. The Authority is satisfied

that the sponsors have already acquired around 216 acres of land for the project from PQA.

(vii). The Authority has noticed that the proposed generation

facility/thermal power plant will be consisting of 2 x 350.00 MW super-critical units

with two boilers, two steam turbines and two generators. The boiler will be fueled

by imported bituminous/sub-bituminous imported coal (from Australia, Indonesia,

Page 7 of 15

Page 9: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

South Africa or Botswana) which will be transported by ship and will be unloaded

at the dock to be constructed at site. A new-built pile type jetty for handling

approximately 2.50 million tons of imported coal has been planned.

(viii). In consideration of the above, the Authority considers that the

proposed supercritical technology is very mature with many units in commercial

operation for many years with good records. The selected main parameters of the

steam turbine and boiler of the project (571°C and 254 bar) are at the high end of

the supercritical class and produce high thermal efficiency that results in less

emission per unit of electricity generated. The modern emission control system

will make the technology environmentally friendly. The high efficiency of the

selected system and the low cost of coal will generate the lowest cost power and

make an economically feasible solution to relieve power shortages in Pakistan.

The gross efficiency of the proposed generation facility/thermal power plant will be

more than 41% (i.e. 42.03%) whereas the net efficiency of same will be not less than 39.00%.

(ix). The Authority considers the availability of sufficient water for the

project a very important factor for generation facilities operating on coal using

steam turbines. According to the submitted information, seawater will be the water

source of the power plant. The sea water taken into the power plant will be used

for the make-up water of the cooling water system, the others, after aeration,

chlorination, ultra filtration and sea water desalination system treatment, will be

used for boiler make-up water treatment, or as service water, potable water, fire

fighting water, etc. Sea water natural cooling tower of secondary circulation is

designed to be of water cooling type, using desalinated seawater as makeup

water. In consideration of the said, the Authority is solidified that sufficient amount

of water will be available for the operation of the proposed generation facility/thermal power plant.

(x). About the interconnection study/arrangement, the Authority has

observed that same has been carried out by Power Planners International.

According to the said study, the proposed generation facility/thermal power plant

Page 10: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

of DTGPKPGPL will be dispersed to the system of KEL at 220 KV voltage level.

The interconnection/dispersal arrangement will be consisting of a 220 KV Double

Circuit (D/C) transmission line (Measuring about 26-KM in length on 4 x 500 mm2

Aluminum conductor) directly connecting the proposed generation facility/thermal

power plant to 220 KV New Port Qasim grid station of KEL. The Authority

observed that KEL has approved the said interconnection study.

(xi). The Authority has noted that the sponsors have also confirmed

that proposed generation facility/thermal power plant will have air emission control

equipment, including an electrostatic precipitator. Further, a catalytic reduction

system will also be installed to ensure that NOx emission complies with national

and global standards. Waste water will be treated and utilized in-plant, with a

small quantity of effluent discharged after further treatment to meet environmental

standards. Conventional solid wastes will be disposed at the ash pond, while

hazardous waste will be collected and treated in-plant. Periodic monitoring of

groundwater will be done to prevent water contamination. Efforts will be made to

maximize use of fly ash and gypsum to reduce waste disposal. Water will be

constantly sprayed in the coal yard to reduce coal dust. Sound attenuation

material will be applied on machinery generating high noise levels. Pollution

monitoring system inside and around the station will be set up to constantly

monitor the environmental conditions. For the coal based power plant, a lot of ash

is produced during its operation. In this regard, the Authority is satisfied that

DTGPKPGPL has devised a suitable plan for disposal of the said ash.

DTGPKPGPL has confirmed that ash produced will be collected and transported

to various cement plants located nearby where it will be utilized as raw material.

(xii). The Authority considers environmental issues resulting from the

construction and operation of the proposed generation facility/thermal power

plant, very important. In this regard, the sponsors have confirmed that the

proposed generation facility/thermal power plant will comply with the

environmental standards of the country. Further, DTGPKPGPL has provided a

copy of the NOC issued by EPA, Sindh confirming that the project will be

compliant with NEQs and the same will be followed.

Page 9 of 15

Page 11: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

(xiii). In terms of Rule-3 of the Generation Rules, the Authority may

grant a generation licence to any person to engage in the generation business.

The said rule stipulates various conditions pertaining to the grant of generation

licence as explained in Rule-3(2), Rule-3(3), Rule-3(4), Rule-3(5) and Rule-3(6).

In the particular case under consideration, the conditions of Rule-3(2) and Rule-

3(3) stands satisfied as DTGPKPGPL has provided details of location,

technology, size, net capacity, interconnection arrangements, technical limits,

technical functional specifications and other details specific to the generation

facilities. The provision of Rule-3(4) of the Generation Rules regarding holding a

public hearing is not applicable as there is no issue which require this exercise.

The Rule-3(5) of the Generation Rules stipulates that the Authority may refuse to

issue a licence where the site, technology, design, fuel, tariff or other relevant

matters pertaining to the generation facility/thermal power plant proposed in an

application for a generation licence are either not suitable on environmental

grounds or do not satisfy the least cost option criteria. In this regard, the Rule-3 of

the Generation Rules also stipulates the conditions pertaining to least cost option

criteria which include (a). sustainable development or optimum utilization of the

renewable or non-renewable energy resources proposed for generation of electric

power; (b). the availability of indigenous fuel and other resources; (c). the

comparative costs of the construction, operation and maintenance of the

proposed generation facility/thermal power plant against the preferences indicated

by the Authority; (d). the costs and rights-of-way considerations related to the

provision of transmission and interconnection facilities; (e). the constraints on the

transmission system likely to result from the proposed generation facility/thermal

power plant and the costs of the transmission system expansion required to

remove such constraints; (f). the short-term and the long-term forecasts for

additional capacity requirements; (g). the tariffs resulting or likely to result from the

construction or operation of the proposed generation facility/thermal power plant;

and (h) the optimum utilization of various sites in the context of both the short-

term and the long-term requirements of the electric power industry as a whole.

Page 10 of 15

Page 12: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

(xiv). In consideration of the above, it is clarified that the project is being

developed in terms of the up-front tariff determination whereby the Authority has

fixed various parameters of the project including efficiency (net), cost of the

construction/EpC cost, operation and maintenance costs etc. In the said

determination, the Authority has duly considered the cost of power generation for

various other alternatives and has fixed the parameters accordingly which is very

reasonable cost for the end consumer. The sponsors of the project had carried

out the grid interconnection study which concludes that a 220 KV D/C

transmission line (Measuring about 24-KM) will be required to connect the project

with the system of KEL. Further, the study has confirmed that the project will not

face any constraints in transmission system. Further, being located at reasonable

distance from the thick population, the project will not result in costs and right-of-

way issues for the provision of transmission and interconnection facilities. It is

pertinent to mention that KEL has included the project in its medium-term and the

long-term forecasts for additional capacity requirements. In view of the

explanation given above, the Authority considers that the project fulfils the

requirements of least cost option criteria as envisaged in the Generation Rules.

(xv). The Authority has considered the comments of the stakeholders

and has observed that MoP&NR, Bol, EDB, MoP&S, PQA has supported the

grant of generation licence in explicit terms. However, PPIB has informed about

the decision of the Government of Pakistan to ban new projects on imported fuel.

Further, MoW&P has also confirmed the said position as highlighted by PPIB. In

consideration of the said, the Authority is of the considered opinion that KEL

being separate legal entity entrusted with the responsibilities to cater the load

requirements of the metropolitan city of Karachi. In this regard, KEL can either set

up generation facilities from its resources or can purchase electric power from the

third party power plants. The Authority is of the view that considering the location

of the city of Karachi, the best option available for generation facilities to be set up

include facilities using imported fuels like coal and LNG. The Authority is of the

considered option that if the argument of PPIB and MoW&P is accepted then it

will not be possible for KEL to meet its demand for which it is obligated.

Page 11 of 15

Page 13: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Accordingly, the Authority gives its determination that ban imposed by the board

of PPIB is not applicable to projects being set up in Karachi that will be supplying

electric power to KEL only. It is pertinent to mention that the project of

DTGPKPGPL is a private venture and it will not be availing any concessions or

other benefits from the Government of Pakistan as admissible to projects set up

under the different power policies therefore, the ban imposed will not be

applicable to this project. In view of the said, the observations of PPIB and MoW&P stand addressed.

(E). Grant of Licence

(I). Electricity is a fundamental element for the economic growth of

any country. The electricity consumption per capita has a strong correlation to the

social development indices (human development index, life expectancy at birth,

infant mortality rate, and maternal mortality) and economic indices (such as GDP per capita).

(ii). Karachi is the largest and the most populous city of Pakistan. The

city maintains itself as the premier center of banking, industry, economic activity

and trade, and is home to Pakistan's largest corporations, including textiles, gems

and jewelry, shipping, automotive industry, entertainment, arts, fashion,

advertising, software development and medical research. This city is the centre to

economy of Pakistan and contributes 42% of GDP, 70% of income tax revenue

and 62% of sales tax revenue. The GDP of Karachi is around 20% of the total

GDP of Pakistan. Moreover, Karachi accounts for 30% of small and medium scale

manufacturing and 40% of large-scale manufacturing of the country. Further,

Karachi contributes about 20% of total national output and 30% of total industrial

output. Around 95% of the foreign trade of Pakistan relies on the two ports of

Karachi i.e. Port Qasim and Karachi Port at Kemari. In consideration of the above,

the Authority is of the considered opinion that increasing the electricity

consumption in the city of Karachi can directly stimulate faster economic growth

and may result in enhanced social development in the city in particular and in the

country in general. In view of the said, the Authority considers that for sustainable

Page 12 of 15

Page 14: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

development, all types of electric power generation resources available to the city

must be developed on priority basis as these will result in adequate supply of electric power for Karachi.

(iii). The existing energy mix for the city of Karachi is heavily skewed

towards the generation facilities/thermal power plants, operating on furnace oil.

The prices of furnace oil are very volatile and resultantly cause frequent variation

in the consumer end tariff not only resulting in higher inflation but also affects the

competitiveness of the local industry with its foreign peers. In order to address the

said issues, the Authority considers it imperative that efforts must be made to

change the energy mix of KEL towards cheaper fuels. In this regard, the Authority

considers that generation facilities based on imported/local coal are considered

the best option for KEL in the medium and long term. Therefore, to reduce the

demand-supply gap in the area of KEL and to achieve sustainable development

for the city of Karachi, it is vital that indigenous as well as imported coal based

projects are given priority for power generation and their development is

encouraged. In consideration of the said, the Authority is of the view that the

proposed project of DTGPKPGPL will be helpful in mitigating the demand-supply gap in the city of Karachi.

(iv)• As explained above, DTGPKPGPL has provided the details of

location, technology, size, net capacity, interconnection arrangements, technical

details and other related information for the proposed generation facility/thermal

power plant. The sponsors of the project have acquired the required land for

setting up the generation facility/thermal power plant. The details of the land

coordinates have been incorporated in Schedule-I of the proposed generation

licence. Accordingly, the Authority directs DTGPKPGPL to utilize the allocated

land for the specific purpose of setting up the proposed generation facility/thermal

power plant and bring the matter in its notice if there is any deviation in the plan about the use of land.

Page 13 of 15

Page 15: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Page 14 of 15

(v). The term of a generation licence under Rule-(5)(1) of the

Generation Rules is required to match with the maximum expected life of the units

comprised in a generating facility. According to the information provided by

DTGPKPGPL, the COD of the proposed generation facility/thermal power plant

will be of December 31, 2020 and it will have a useful life of more than thirty (30)

years from its COD. In this regard, DTGPKPGPL has requested that the term of

the proposed generation licence may be fixed to thirty (30) years, consistent with

the term of the proposed Power Purchase Agreement (PPA) to be signed with

KEL. In this regard, the Authority considers that as per international

benchmark/standards the life of a brand new steam turbine is taken as at least

thirty (30) years. The Authority considers that the information provided by

DTGPKPGPL about the useful life of its generation facility/thermal power plant is

consistent with international benchmarks and other similar cases. Therefore, the

Authority fixes the term of the generation licence as thirty (30) years from COD of the project.

(vi). Regarding tariff, it is hereby clarified that under Section-7(3)(a) of

the NEPRA Act, determination of tariff, rate and charges etc. is the sole

prerogative of the Authority. In the particular case, the Authority has already

granted an upfront tariff to the project through its determination No. NEPRA/TRF-364

/DPKPG-2016/11068-11070 August 11, 2016. Notwithstanding the said, the

Authority directs DTGPKPGPL to charge the power purchaser only such tariff

which has been determined, approved or specified by the Authority. In this regard,

the Authority has made explicit provision in the Article-6 of the generation licence

for DTGPKPGPL. The Authority directs DTGPKPGPL to adhere to the provision

of the said article of the generation licence in letter and spirit without any exception.

(vii). Regarding compliance with the environmental standards, as

stated at Para-D(xii) above, DTGPKPGPL has provided the NOC from EPAGoS

and has confirmed that project will comply with the required standards during the

term of the generation licence. In view of the importance of the issue, the

Authority has decided to include a separate article (i.e. Article-10) in the

Page 16: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Page 15 of 15

Si

generation licence along with other terms and conditions making it obligatory for

DTGPKPGPL to comply with relevant environmental standards at all times.

Further, the Authority directs DTGPKPGPL to submit a report on a bi-annual

basis, confirming that operation of its generation facility/thermal power plant is

compliance with the required environmental standards as prescribed by the

concerned environmental protection agency.

(viii). In view of the above, the Authority hereby approves the grant of

generation licence to DTGPKPGPL on the terms and conditions set out in the

generation licence annexed to this determination. The grant of generation licence

will be subject to the provisions of the NEPRA Act, relevant rules, regulations

framed thereunder and other applicable documents.

Authority:

Maj. (R) Haroon Rashid (Member) P In 17

Syed Masood-ul-Hassan Naqvi (Member)

Himayat Ullah Khan (Member)

Saif Ullah Chattha (Member)/(Vice Chairman)

Brig. (R) Tariq Saddozai (Chairman)

*ER RE-Go 4k6'

171 REGISTRAR _,A

<6.,

NEPO e

Page 17: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Registrar .)--Z

National Electric Power Regulatory Authority (NEPRA)

Islamabad — Pakistan

[GENERATION LICENCE

No. IGSPL/79/2017

In exercise of the Powers conferred upon under Section-15 of the

Regulation of Generation, Transmission and Distribution of Electric

Power Act, 1997, the Authority hereby grants the Generation Licence

to:

DATANG PAKISTAN KARACHI POWER GENERATION

(PVT.) LIMITED

Incorporated Under Sectioon-32 of the Companies Ordinance 1984 (XL VII of 1984) Having Corporate Universal

Identification No. 0099889, dated May 26, 2016

for its Imported Coal based Generation Facility/Thermal Power Plant Located at Plot No. EIZ/LL/SP-09, Port Qasim Area, Bin Qasim Town, Karachi in the Province of Sindh

(Total Installed Capacity: 700.00 MW Gross)

to engage in generation business subject to and in accordance with the

Articles of this Licence.

Given under my hand this on Z3 w t̀ day of May Two Thousand

& Seventeen and expires on 30th day of December Two

Thousand & Fifty.

Page 18: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

ER RE

i4J({9 W REGISTRAR cv

NFPitt"

Article-1 Definitions

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No. EIZ/LL/SP-09, Port Qasim Area

Bin Qasim Town, Karachi in the Province of Sindh

1.1 In this licence

(a). "Act" means the Regulation of Generation, Transmission and

Distribution of Electric Power Act, 1997 as amended or replaced from

time to time;

(b). "Applicable Documents" mean the Act, the rules and regulations

framed by the Authority under the Act, any documents or instruments

issued or determinations made by the Authority under any of the

foregoing or pursuant to the exercise of its powers under the Act, the

Grid Code, the applicable Distribution Code, if any, or the documents

or instruments made by the Licensee pursuant to its generation

licence, in each case of a binding nature applicable to the Licensee or,

where applicable, to its affiliates and to which the Licensee or any of its

affiliates may be subject;

(c). "Applicable Law" means the Act, relevant rules and regulations made

there under and all the Applicable Documents;

(d). "Authority" means the National Electric Power Regulatory Authority

constituted under Section-3 of the Act;

(e). "Bus Bar" means a system of conductors in the generation

facility/Thermal Power Plant of the Licensee on which the electric

power from all the generators is collected for supplying to the Power Purchaser;

(f). "Commercial Operations Date (COD)" means the day immediately

following the date on which the generation facility/Thermal Power Plant

of the Licensee is commissioned;

Page 2 of 7 of the Articles of Generation Licence

Page 19: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No. EIZ/LL/SP-09, Port Qasim Area

, Bin Qasim Town, Karachi in the Province of Sindh

(g)•

"Distribution Code" means the distribution code prepared by the

distribution licensee and approved by the Authority, as it may be

revised from time to time with necessary approval of the Authority;

(h). "Generation Rules" mean the National Electric Power Regulatory

Authority Licensing (Generation) Rules, 2000 as amended or replaced

from time to time;

"Grid Code" means the grid code prepared by NTDC and approved by

the Authority, as it may be revised from time to time by NTDC with any

necessary approval by the Authority;

(j). "IEC" means the International Electrotechnical Commission or its

successors or permitted assigns;

(k). "IEEE" means the Institute of Electrical and Electronics Engineers or its

successors or permitted assigns;

(I). "KEL" means K-Electric Limited or its successors or permitted assigns as a Power Purchaser;

(m). "Licensee" means "Datanq Pakistan Karachi Power Generation (Pvt.) Limited" or its successors or permitted assigns;

(n). "Licensing Regulations" mean the National Electric Power Regulatory

Authority Licensing (Application & Modification Procedure)

Regulations, 1999 as amended or replaced from time to time;

(o). "NTDC" means National Transmission and Despatch Company Limited

or its successors or permitted assigns;

Page 3 of 7 of the Articles of Generation Licence

Page 20: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No. EIZ/LL/SP-09, Port Qasim Area

Bin Qasim Town, Karachi in the Province of Sindh

"Power Purchase Agreement (PPA)" means the power purchase

agreement, entered or to be entered into by and between the Power

Purchaser and the Licensee, for the purchase and sale of electric

power generated by the generation facility/Thermal Power Plant, as

may be amended by the parties thereto from time to time;

"Power Purchaser" means KEL which will be purchasing electric power

from the Licensee, pursuant to the PPA for procurement of electric power;

(r). "Thermal Power Plant" means a generation facility using fossil fuel for

generation of electric power;

1.2 Words and expressions used but not defined herein bear the meaning given

thereto in the Act or rules and regulations issued under the Act.

Article-2 Applicability of Law

This licence is issued subject to the provisions of the Applicable Law, as

amended from time to time.

Article-3 Generation Facilities

3.1 The location, size (capacity in MW), technology, interconnection

arrangements, technical limits, technical functional specifications and other details

specific to the generation facility/Thermal Power Plant of the Licensee are set out in

Scheduled of this licence.

3.2 The net capacity of the generation facility/Thermal Power Plant of the

Licensee is set out in Schedule-II hereto. The Licensee shall provide the final

arrangement, technical and financial specifications and other specific details

pertaining to its generation facility/Thermal Power Plant before its COD.

Page 4 of 7 of the Articles of Generation Licence

Page 21: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No. EIZ/LL/SP-09, Port Qasim Area

, Bin Qasim Town, Karachi in the Province of Sindh

Article-4 Term of Licence

4.1 This Licence shall become effective from the date of its issuance and will

have a term of thirty (30) years from the COD of the generation facility/Thermal

Power Plant of the Licensee.

4.2 Unless suspended or revoked earlier, the Licensee may apply for renewal of

this Licence ninety (90) days prior to the expiry of the above term, as stipulated in the Licensing Regulations.

Article-5 Licence fee

The Licensee shall pay to the Authority the licence fee as stipulated in the

National Electric Power Regulatory Authority (Fees) Rules, 2002 as amended or

replaced from time to time.

Article-6 Tariff

The Licensee shall charge the Power Purchaser only such tariff which has

been determined, approved or specified by the Authority.

Article-7 Competitive Trading Arrangement

7.1 The Licensee shall participate in such manner as may be directed by the

Authority from time to time for development of a Competitive Trading Arrangement.

The Licensee shall in good faith work towards implementation and operation of the

aforesaid Competitive Trading Arrangement in the manner and time period specified

by the Authority. Provided that any such participation shall be subject to any contract

entered into between the Licensee and another party with the approval of the Authority.

Page 5 of 7 of the Articles of Generation Licence

Page 22: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No. EIZ/LL/SP-09, Port Qasim Area

Bin Qasim Town, Karachi in Province of Sindh 7.2 Any variation or modification in the above-mentioned contracts for allowing

the parties thereto to participate wholly or partially in the Competitive Trading

Arrangement shall be subject to mutual agreement of the parties thereto and such

terms and conditions as may be approved by the Authority.

Article-8 Maintenance of Records

For the purpose of sub-rule (1) of Rule-19 of the Generation Rules, copies of

records and data shall be retained in standard and electronic form and all such

records and data shall, subject to just claims of confidentiality, be accessible by

authorized officers of the Authority.

Article-9 Compliance with Performance Standards

The Licensee shall comply with the relevant provisions of the National Electric

Power Regulatory Authority Performance Standards (Generation) Rules, 2009 as

amended or replaced from time to time.

Article-10 Compliance with Environmental & Safety Standards

10.1 The generation facility/Thermal Power Plant of the Licensee shall comply with

the environmental and safety standards as may be prescribed by the relevant

competent authority from time to time.

10.2 The Licensee shall provide a certificate on a bi-annual basis, confirming that

the operation of its generation facility/Thermal Power Plant is in conformity with

required environmental standards as prescribed by the relevant competent authority.

Article-11 Power off take Point and Voltage

The Licensee shall deliver the electric power to the Power Purchaser at the

outgoing Bus Bar of its generation facility/Thermal Power Plant. The Licensee shall

be responsible for the up-gradation (step up) of generation voltage up to the

required dispersal voltage level.

44/

REGISTRAR r--

4)

NEPRA

Page 6 of 7 of the Articles of Generation Licence

Page 23: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Article-12 Provision of Information

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No. EIZ/LL/SP-09, Port Qasim Area

Bin Qasim Town, Karachi in the Province of Sindh

In accordance with provisions of Section-44 of the Act, the Licensee shall be

obligated to provide the required information in any form as desired by the Authority

without any exception.

Article-13 Design & Manufacturing Standards

The generation facility/Thermal Power Plant of the Licensee shall be

designed, manufactured and tested according to the latest IEC, IEEE or other

equivalent standards. All the plant and equipment of the generation facility/Thermal

Power Plant shall be unused and brand new.

Page 7 of 7 of the Articles of Generation Licence

Page 24: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Page 1 of 11 of Schedule -I

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No. EIZ/LL/SP-09, Port Qasim Area

, Bin Qasim Town, Karachi in the Province of Sindh

SCHEDULE-I

The Location, Size (i.e. Capacity in MW), Type of Technology, Interconnection Arrangements, Technical Limits, Technical/Functional Specifications and other details specific to the Generation Facilities of

the Licensee are described in this Schedule

Page 25: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

4,kEit RE

Re0S-r"4C

* N EPik

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No. EIZ/LL/SP-09, Port Qasim Area

, Bin Qasim Town, Karachi in the Province of Sindh

Location of the Generation Facility/Thermal Power Plant

of the Licensee

Page 2 of 11 of Schedule -1

Page 26: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No. EIZ/LL/SP-09, Port Qasim Area

, Bin Qasim Town, Karachi in the Province of Sindh

Location of the Generation Facility/Thermal Power Plant

of the Licensee

Page 3 of 11 of Schedule -I

Page 27: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Boundary

Boundary-1

Boundary-2

Boundary-3

Boundary-4

Boundary-5

Boundary-6

Boundary-7

Project Land: 216 Acres

Land Coordinates

Latitude (N)

24°4T04.9153"N

24°4T06.3026"N

24°47'22.4826"N

24°4T23.2850"N

24°46'50.9262"N

24°47.48.7354"N

24°47'04.9153"N

Longitude (E)

67°2315.0842"E

67°23'43.9531"E

67°23'43.0207"E

67°23'59.7312"E

67°24'01.6233"E ■-•■••■••coli

67°2316.01761M

67°23'15.0842"E

\NER RF

JI REGISTRAR

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No. EIZ/LL/SP-09, Port Qasim Area

, Bin Qasim Town, Karachi in the Province of Sindh

Land Coordinates of the Generation Facility/Thermal Power Plant

of the Licesee

Page 4 of 11 of Schedule -1

Page 28: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No. EIZ/LL/SP-09, Port Qasim Area

, Bin Qasim Town, Karachi

Lay Out of the in the Province of Sindh

Generation Facility/Thermal Power Plant of the Licensee

I. 1

l p 41 4

lid 11111111111111 nnnnnn nnnnn nnm.nn~nmm~nnn_-

11 1 1 1 11

SP 12

Page 5 of 11 of Schedule -I

Page 29: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Page 6 of 11 of Schedule -I

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No. EIZ/LL/SP-09, Port Qasim Area

, Bin Qasim Town, Karachi in the Province of Sindh

Single Line Diagram (Electrical) of the Generation Facility/Thermal Power Plant

of the Licensee

Page 30: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Page 7 of 11 of Schedule -I

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No. EIZ/LL/SP-09, Port Qasim Area

, Bin Qasim Town, Karachi in the Province of Sindh

Interconnection Facilities/ Transmission Arrangements for Dispersal of Power from the

Generation Facility/Thermal Power Plant of the Licensee

The electric power from the imported coal based generation

facility/Thermal Power Plant of the Licensee will be dispersed to the load center

of K-Electric Limited (KEL).

(2). The interconnection facilities/transmission arrangements for supplying to

national grid from the above mentioned generation facility/Thermal Power Plant

shall be at 220kV level. The dispersal/interconnection arrangement for supplying

to KEL will be consisting of a 220kV Double Circuit (D/C) Transmission line

(measuring about 26-KM in length on 4 x500 mm2 Al conductor) connecting

generation facility/Thermal Power Plant of the Licensee to the new 220 KV Port

Qasim 220kV grid station of KEL.

(3). Any change in the above mentioned interconnection facilities/transmission

arrangements for dispersal of electric power as agreed by the Licensee and the

Power Purchaser/KEL shall be communicated to the Authority in due course of

time.

Page 31: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

PlpIlYVvw1

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No EIZ/LL/SP-09, Port Qasim Area

, Bin Qasim Town, Karachi in the Province of Sindh

Single Line Diagram of the Interconnection Facilities/ Transmission Arrangements for Dispersal of Power from the

Generation Facility/Thermal Power Plant of the Licensee

VW

Page 8 of 11 of Schedule -I

Page 32: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No. EIZ/LL/SP-09, Port Qasim Area

, Bin Qasim Town, Karachi in the Province of Sindh

Details of Generation Facility/Thermal

Power Plant

(A). General Information

(i). Name of Company/Licensee

Datang Pakistan Karachi Power Generation (Pvt.) Limited

(ii). Registered /Business Office of Company/ Licensee

RIAA Barker Gillete Chambers, D-67/1, Block-4, Clifton, Karachi

(iii). Location of the Generation Facility

Port Qasim, Karachi, in the Province of Sindh.

(iv). Type of Generation Facility Coal Fired Thermal Power Plant

(B). Plant Configuration

(i). Installed Capacity/ Plant Size of the Generation Facility

700.00 MW

(ii). Type of Technology Conventional Thermal Power Generation Facility with Super Critical Boiler and Steam Turbine

(iii). Number of Units/Size (MW) 2 x 350.00 MW

(iv).

Unit Make/ Model/ Type & Year of Manufacture Etc.

Steam turbine

Super Critical, Condensing Steam Turbines of Shanghai

Electric Group Company/Dongfang Turbine

Corp. Limited/Harbin Turbine Co. Limited

/ALSTOM/Siemens/Hitachi/ Toshiba or equivalent.

Boiler

Supercritical thermal power unit once through single pass single reheat, balanced draft radiant furnace, dry bottom Boiler of

Shanghai Electric Group Company/Dongfang Boiler Corp.

Limited/Harbin Boiler Co. Limited/ALSTOM/B&W (Beijing)

Co. Limited/Ansaldo/Foster Wheeler or equivalent.

/0344ER Ree, Zi.,%-------14\

Page 9 of 11 of Schedule -I 44J

Li; REGISTRAR

-L j * NE PO

Page 33: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No. EIZ/LL/SP-09, Port Qasim Area

, Bin Qasim Town, Karachi in the Province of Sindh

(v). COD ration Facility

of the G December 31, 2020 (Expected)

(vi). Expected Useful Life of the Generation Facility from COD

30 years

(C). Fuel/Raw Material Details

(i). Primary Fuel Imported Coal

(ii). Start-Up Fuel Light Diesel Oil (LDO)

(iii). Fuel Source

Primary Fuel Start-Up Fuel

Bituminous/ Sub-Bituminous

Coal from Indonesia, South Africa etc.

Indigenous/Imported

(iv). Fuel Supplier

Primary Fuel Start-Up Fuel

China Datang Overseas Investment

Company Limited.

PSO/Shell/ any other OMC Company.

(v)* Arrangement

Primary Fuel Start-Up Fuel

Through ShipsNessel/Barge, Jetty and Trucks etc.

Through Oil Tankers

(vi). No. of Storage Bunkers/Tanks/ Open Yard

Primary Fuel Start-Up Fuel

One open yard One Tank

(vii). Storage Capacity of each Bunkers/ Tanks/Open Yard

—erriZzt■

Primary Fuel Start-Up Fuel

Approx. 650,000 tons 500m3

Page 10 of 11 of Schedule -I

Page 34: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No EIZ/LL/SP-09, Port Qasim Area

, Bin Qasim Town, Karachi

(viii). Gross Storage Primary Fuel Start-Up Fuel

Approx. 650,000 tons 500m3

(I)). Emission Values

Primary Fuel Start-Up Fuel

(i). SOX (mg/Nm3) 350 As per NEQ

(ii). NOx (mg/Nm3) 510 As per NEQ

(iii). Particulate Matter (mg/Nm3) 50 As per NEQ

(E). Cooling System

Cooling Water Source/Cycle

Secondary circulating cooling tower and makeup seawater from Arabian Sea

(F). Plant Characteristics

0). Generation Voltage 20 KV (Transmission Voltage 220 KV)

(ii). Frequency 50Hz (± 5%)

(iii). Power Factor 0.8 to 0.9

(iv). Automatic Generation Control

Yes

(v). Ramping Rate (MW/min)

Between 50%-100%

Load

Between 25% to 50%

Load

Under 25% of

load 2 x 6.65 MW/min

2 x 4.2 MW/min

2 x 3.5 MW/min

(vi). Time required to Synchronize to Grid (Hrs.)

-

Hot Start

Warm Start

Cold Start

60

-

150 264

Page 11 of 11 of Schedule -1

Page 35: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Page 1 of 2 of Schedule-II

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No. EIZ/LL/SP-09, Port Qasim Area

Bin Qasim Town, Karachi in the Province of Sindh

SCHEDULE-II

The Installed/ISO Capacity (MW), De-Rated Capacity At Mean Site Conditions (MW), Auxiliary Consumption (MW) and the Net Capacity

At Mean Site Conditions (MW) of the Generation Facilities of Licensee are given in this Schedule

Page 36: National Electric Power Regulatory Authority IPPs/Datang Pakistan Karachi Power... · Datang Pakistan Karachi Power Generation (Private) Limited (DPKPG), RIAA Barker Gillette Chambers,

Page 2 of 2 of Schedule-II

Generation Licence Datang Pakistan Karachi Power

Generation (Pvt.) Limited Plot No. EIZ/LL/SP-09, Port Qasim Area

, Bin Qasim Town, Karachi in the Province of Sindh

SCHEDULE-!I

(1). Total/Gross Installed Capacity of the generation facility/Thermal Power Plant

700.00 MW

(2). De-rated Capacity of the generation facility/Thermal Power Plant at Reference Site Conditions

700.00 MW

(3). Auxiliary Consumption of the generation facility/Thermal Power Plant

63.00 MW

(4). Net Capacity of the generation facility/Thermal Power Plant at Reference Site Conditions

637.00 MW

Note

All the above figures are indicative as provided by the Licensee. The net

capacity available to the Power Purchaser for dispatch will be determined through

procedure(s) contained in the PPA or any other applicable document(s).