KARACHI: K-Electric (KE), Pakistan’s only private utility firm, announced the receipt of seven bids for the country’s first 220 MW hybrid wind/solar project in Dhabeji, Sindh.
Building on this momentum, the company marked another significant milestone with the opening of the financial bids at a private event in Karachi. With a proposed tariff of Rs8.9189 per unit, JCM Power, a Canada-based renewable energy company, has emerged as the bidder with the lowest tariff, setting a new precedent in the country’s renewable sector, according to KE’s statement.
KE is pioneering the competitive bidding process in renewable energy, following approval from Nepra in the first half of 2024. With the launch of these projects, KE is sprinting towards a sustainable future, aiming to enhance the share of renewable energy to 30 per cent in its mix by 2030. As a next step, KE will submit the bid evaluation report to Nepra for its approval.
Commenting on this achievement, Moonis Alvi, CEO of KE, said, “We are very happy to see such a bid, driven by a transparent bidding process. We are grateful to the investors for their continued confidence in KE as a brand and in Pakistan’s economic potential.”
“We deeply appreciate Nepra for supporting us in the competitive bidding process for such a complex and innovative project. It aligns seamlessly with KE’s vision to integrate renewables, reduce generation costs and gradually decrease dependence on expensive imported fuel sources. With this kind of tariff, we anticipate that the government will have the capacity to pass on relief to customers as well.”
Chief Strategy Officer of KE Shahab Qader added, “This is a momentous occasion as KE breaks barriers yet again. This project is the first in Pakistan to integrate solar and wind energy for improved operational and financial efficiency.
The unique specifications of this project also make it technically demanding, requiring deeper expertise. Renewable energy projects at Winder and Bela in Balochistan, along with the latest one in Dhabeji, Sindh, totalling 370MW, have received a resounding 2,960MW in offers. This response affirms the utility’s long-term strategy to achieve the cheapest cost of generation possible.”
This strategic approach has the potential to break the cycle of dependence on costlier sources, reduce overall energy production costs and simultaneously contribute to the country’s economic progress.