Govt to build 15-day furnace oil stock: The News

By Khalid Mustafa

ISLAMABAD: The government has decided to minimise power disruption across the country for which furnace oil stock will be increased to 10 to 15 days from existing nine days, which is not sufficient to ensure planned thermal power generation, a senior official told The News.

“For increasing furnace oil stock a decision will be taken in a meeting of the Economic Coordination Committee here on Tuesday,” he said. Overall average stock of petroleum products has already increased from 12 to 16 days.

The Pakistan Electric Power Company (PEPCO) needs 30,000 tonnes of furnace oil to run its power houses at 100 per cent capacity. Presently, the stock is available for nine days and the Ministry of Water and Power wants it to be raised from nine to 15 days. This means that reserves should be at 500,000 tonnes.

If this is ensured, then PEPCO would be able to tackle current electricity loadshedding, which has already been reduced.

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Positive economic news take KSE to 24-week high: The News

By Salman Siddiqui

KARACHI: The Karachi stock market turned positive this week on the back of investment-friendly news, which helped revive interest and put to an end a long period of depression.The benchmark KSE 100-share index continued its upward momentum throughout the week and crossed 6,000 points. The index rose 6 per cent from the previous week to close at 6,143.81 points, a 24-week high.The free-float market capitalisation-based 30-share index surged 437.39 points or over 8 per cent to 5,778.61 at the end of trading week on Friday.

Volume in the ready market showed a substantial improvement over the week as strong activity was seen in top-tier stocks as well, after thin trading in most of these shares since the lifting of index floor on Dec 15 last year, said Atif Zafar of JS Research.Average daily volume in the ready market was recorded at 173.6 million shares compared to 108.99 million, showing a handsome increase of 59.3 per cent from the previous week.

Market capitalisation rose Rs94 billion to Rs1.936 trillion. Foreign portfolio investors, however, withdrew over $25 million during the week.Energy stocks led the rally with exploration and production (E&P) sector up 14.5 per cent, independent power producers (IPPs) 12.2 per cent and refineries 10.5 per cent. It was driven by value-hunters seeking double-digit dividend yield and renewed government commitment to end the thorny issue of inter-corporate debt, said Muhammad Saqib Sajjad of KASB Securities.

For more on this article, please click on the following link: Positive economic news take KSE to 24-week high: The News

Pakistan, Malaysia to construct 305 MW power project in Karachi: APP

SLAMABAD, Oct 13 (APP): Progas Pakistan and KUB Malaysia Berhad have won the bid to construct 305 MW Independent Power Project at Port Qasim, Karachi.

Present government had invited investors to establish power projects in Pakistan on a fast track basis, consisting of two packages - Package-A for IPP projects of 1000 MW and Package-B for Rental Power Projects.

According to Private Power and Infrastructure Board (PPIB) here Monday, out of the twelve (12) bids received, three bids of Progas Energy, Cavalier Energy and Ruba Energy Pakistan were approved for construction of three Independent Power Projects with total power generating capacity of 929.06 Megawatt and two bids of Karkey, Karadeniz Eledkrik Uretim A.S and Walters Power International were approved for renting of two power generators of 418.802 MW capacity.

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Japan offers to install 500MW power plants: The News

Thursday, July 24, 2008
By Israr Khan

ISLAMABAD: Japanese government on Wednesday offered Pakistan installation of two 500-megawatt power plants and showed interest in increasing investment in the automobile industry, while Islamabad assured Tokyo of establishment of Special Economic Zone (SEZ) for Japanese investors on priority basis, which would be equipped with basic infrastructure.

Federal Minister for Finance, Privatisation & Investment Syed Naveed Qamar assured this in a meeting with a visiting 15-member Pak-Japan Business Forum delegation led by Makoto Kakebayashi held here on Wednesday.

Qamar said in order to curtail the smuggling of diesel to the neighboring countries, the subsidies on certain petroleum products would be reduced gradually.

Pakistani workers remittances have gone up to $6.5 billion as compared to the previous year's figure of $5.5 billion, he informed. The minister also directed the Board of Investment (BOI) to work together with the Pak-Japan Business Forum in knuckling down to study to find out the impediments being faced by the investors in general and the Japanese investors, in particular. A workable report should also be prepared in the light of this study suggesting remedial measures to remove all sort of hindrances and bottlenecks and all-out efforts should be made to encourage the Japanese business sector to enhance operations and investment in the country, he added.

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Pakistan hands over Thar coal project to Sindh: Khaleej Times

ISLAMABAD - The Pakistan government has finally handed over the development of Thar coal project to the Sindh government, mainly to expedite the building of a 1000MW coal-fired power plant at a cost of $1.5 billion.

A senior government official told this correspondent that tussle that had been delaying the project has ended with the Centre agreeing to a 'supporting role' for itself in the $1.5 billion project while the Sindh administration 'spearhead' and sort out all the issues relating to the project.

He also said that the federal government has set up a Sindh Coal Authority by abolishing two existing federal and provincial agencies to expedite mining, development and gasification of Thar and other coal deposits in Sindh. A formal notification to this effect was issued by the Prime Minister Secretariat yesterday that technically empowers provincial government to take all decisions relating to coal development and power generation in consultation with provincial and federal agencies.

Headed by chief minister of Sindh, the authority will comprise federal minister and secretary water and power, a provincial minister to be nominated by the chief minister, chief secretary sindh and managing director Thar Coal Authority. The authority has come into effect immediately as Sindh Coal Authority (SCA) - a provincial agency - and Thar Coal Mining Company - a joint venture of federal and Sindh government - have been abolished, says the notification issued by federal government.

The authority will act as one stop organisation on behalf of all ministries, departments and agencies of the federal and provincial governments in mining, development, leasing and sub-leasing of Thar coal area. This will also be responsible for development of clean coal technologies, research and development, gasification, bracketing on Thar coal.

For more on this article, please click on the following link: Pakistan hands over Thar coal project to Sindh: Khaleej Times