ISLAMABAD: In a remarkable development, the National Power Parks Management Company (NPPMC) has managed to get much-touted RLNG Power Plants at Haveli Bahadur Shah and Balluki of 2640MW reinsured at competitive prices of $6.2 million and $5.9 million respectively.
Rashid Langhrial, Chief Executive Officer of NPPMC, while confirming to The News said that both the RLNG plants had been reinsured well within the Nepra’s ceiling of $8 million fixed in the tariff. For Haveli-Bahadur Shah RLNG power plant, reinsurance cover has been attained at $6.2 million and for Balluki RLNG plant, the reinsurance cover of $5.9 million has been achieved.
To a question, he said that NPPCM has got two bids for reinsurance of Haveli-Bahadur Shah power plant for operational phase of 30 years. Jubilee Insurance Company came up with $6.2 million while Adamjee Insurance Company turned up with $6.5 million. So, Jubilee Insurance Company won the bid.
For the Balluki power plant, Mr Langhrial said Adamjee Insurance Company has emerged as the lowest bidder with its bid of $5.9 million. And the reinsurance contract is to be awarded to Adamjee Company.
The RLNG power plant of 1,230MW at Haveli-Bahadur Shah, Langhrial said, is currently generating electricity of 1,320MW on commercial basis after achieving the CoD in mid night at 12 of May 08.
He said, “The project has been allowed to generate the electricity on commercial basis once its reinsurance cover at $6.2 million is achieved as it is simply impossible for us to run the power plants without the reinsurance cover. He further argued saying that in case any damage occurs in the plant during the 30 years, who will sustain the loss. “It will be insurance company,” he stressed.
To a question he said that Balluki RLNG power plant will come on stream on commercial basis on June 10-12 and currently it is on testing mode with full load and is generating 1100MW. The Bhikki power plant is also commercially generating the electricity for which Punjab government has also arranged its reissuance cover through NICL (National Insurance Company Limited) which is at higher side if compared with that of Haveli-Bahadur Shah and Balluki power plants. However, virtually the three plants are currently adding the valuable electricity of over 3200MW in the system.
He said that the reinsurance of the Haveli-Bahadur Shah power plant at $6.2 million is well within the reinsurance cover of $8 million allowed by National Electric Power regulatory Authority (Nepra).
Earlier on April 24, an important meeting was held with prime minister in the chair in which NICL had shown its inability to arrange reinsurance cover for Haveli-Bahadur Shah and Balluki power plants arguing that power turbines of General Electric (GE) in the said plants are never-tested anywhere in the world, supporting machinery arranged by Chinese company is also substandard and track record of the companies —contractors of the said plants is bad.
However, in particular meeting prime minister had asked the National Power Parks Management Company to arrange the reinsurance cover from any private company in the open market. “Toeing the directives of the premier, National Power Parks Management Company has completed the task,” Mr Langhrial said.
