PID

PR No. 226 PRIVATE POWER AND INFRASTRUCTURE BOARD & POWER UNIVERSAL INVESTMENT CO. LTD, DUBAI UAE EXECUTED LETTER OF SUPPORT FOR DEVELOPMENT OF 640 MW AZAD-PATTAN HYDROPOWER PROJECT Islamabad: June 30, 2016.

Private Power and Infrastructure Board (PPIB) and Power Universal Investment Co. Ltd, Dubai UAE, a subsidiary of China Gezhouba Group Company Limited today executed Letter of Support (LOS) for development of 640 MW Azad-Pattan Hydropower Project. Execution/Signing of the LOS will lead to further development, financing, construction and subsequently operation of the Project.

640 MW Azad-Pattan Hydropower Project is a run of the river hydropower project located on River Jhelum on dual boundary of AJ&K and Punjab having capability to generate clean, reliable and affordable 3.075 Billion units of electricity per year to the national grid. The Project is located very close to the load center and will be connected to the national grid through 500 kV transmission line.

As the Government attaches top priority to generate electricity at affordable prices utilizing indigenous resources like coal and hydro, this project assumes further importance. In line with the policy of the government, PPIB is handling & facilitating the development of this Project for its timely completion to meet the future energy requirements.

This Project is being developed by Power Universal Investment Co. Ltd, Dubai UAE, a subsidiary of China Gezhouba Group Company Ltd. and Laraib Group at Pakistan. The Project will be implemented on Build-Own-Operate-Transfer (BOOT) basis under the provisions of Power Policy 2002.

After commissioning, the Project Company will operate and maintain the Project for thirty (30) years after which it will be transferred to the Government of AJ&K at a notional price of one (01) Rupee. Further, during operation and maintenance of the Project, the Government of AJ&K/Punjab will receive Rs.1306 Million every year on account of water use charges which would be shared equally between GoAJ&K and Punjab. After transfer of the Project to AJ&K, the GoPunjab will receive full amount of water use charges i.e. Rs.1306 Million/annum.

PPIB is processing hydropower projects with a cumulative capacity of around 6400 MW through private sector which are at various stages of development.

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