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Karachi Electric Supply Corporation.

Karachi Electric Supply Corporation

The power generating capacity of the Karachi Electric Supply Corporation (KESC) will be doubled by 1991 from the present 1073 megawatts to 2,000 megawatts. Under an ambitious plan of power generation, a 630 - megawatt plant, (each unit of 210 megawatt) is being commissioned at Bin Qasim Thermal Power Station. One of them was completed by the end of 1989, fourth unit by February, 1990 and the fifth one will be by 1991. Feasibility reports of three power stations have been sent to the Government the approval. These stations are Bin Qasim's sixth unit and West Wharf's first and second units. When all the above-mentioned projects would be operational, there would be no power problem in the next five years.

Meanwhile, the Federal Government has approved Rs. 5 billion plan aimed at improving power supply and distribution system and for this the Exim Bank of Japan has also agreed to provide dollar 100 million loan for this project. Under the programme 3,000 - mile long 11-KV overhead underground cables and 8,000 kilometer, 400 volt overhead cables will be laid, besides this 4,225 distribution transformers would be installed. To improve power distribution and supply system, KESC itself has started Rs. 800 million five-year (1988-1993) expansion and development project.

Asian Development Bank (ADB) has agreed to provide dollar 100 million loan for KESC's 132 and 86 KV transmission system's expansion plan. Agreement to this effect has already been signed. A total of Rs. 7.5 billion would be spent on this project. With the completion of this project the existing transformers capacity would be enhanced to 1860 megawatts and on the completion of all the developmental works, the KESC would raise the capacity of grid stations and transformers by 125 per cent and the enhanced capacity would be enough for the next 10 years.

The Karachi Electrical Supply Corporation Limited (KESC) was established in 1913. After independence, a rapid growth of the city was witnessed as it had become the capital of Pakistan. Big industrial and commercial houses were set up leading to sudden increase in demand for electricity. The financial and manpower position of the Corporation was inadequate to shoulder the responsibilities expected of it. This necessitated Government investment in 1952 with the purchase of shares to the tune of Rs. 17.50 million of the then subscribed capital of Rs. 24.50 million. The KESC has been granted the licence to generate, transmit and distribute power in its licensed area. It is the responsibility of the Corporation to forecast the demand for power and plan its generation, transmission and distribution.

The installed capacity of the various generating stations was 1,318 MW, while the actual capability was 1,190 MW. In the year under review the maximum demand was 1,123 NW in contrast to 1,060 MW of the previous year. The Corporation's operational activities can be gauged from the table.

For the financial year 1989-90 the gross revenue and the net profit with figures of the previous year are given below:

Sales and Income
 (Rs. |000')
 1988-89 1989-90 % Increase/Decrease
Energy sales 5,367,940 6,323,771 17.81
Other income 87,051 113,369 30.23
Total gross revenue 5,454,991 6,437,140 18.00
Cost of Sales 4,953,848 5,842,222 17.93
Net profit before tax 501,143 594,918 18.71
 Source: KESC, Annual Report 1990

New Projects of KESC

200 MW Bin Qasim Unit-5: Work mon Bin Qasim Unit-5 commenced in August 1988 at an approved cost of Rs. 4,211.91 million, whereas the civil works began from September 1988. During the year under consideration, mostly the Engineering/Manufacturing works for the Power Plant Equipments were undertaken. Materials for Boiler - Structure were transported from HMC - Taxila. Excavation/grounding works for various power plant facilities were completed during this period. The unit was to be commissioned in March 1991.

210 MW West Wharf Units 1 & 2 and Associated 220 KV Transmission Facilities: PC-1 for two units of 210 MW each has been submitted to Ministry of Water & Power in May 1989 for Government's approval at an estimated cost of Rs. 10,083.62 million for Power Plant and Rs. 765.00 million for transmission facilities. It has now been decided that these projects be undertaken in the private sector. It is also proposed that plants should be coal fired to reduce the oil bill.

210 MW Bin Qasim Unit-6 and Associated 220 KV Transmission Facilities: During the period under reference, much headway was made in pursuing the Government for early implementation of Bin Qasim Unit-6 and related transmission facilities. Proposals for concept clearance was forwarded to Ministry of Water and Power in June 1989. PC-1 of the project was intermitted on April 4, 1990. KESC hopes to commission the unit by December 1990 along with double circuit 220 Kv transmission line from the power station to Korangi West Grid Station. [Tabular Data Omitted]

PHOTO : A view of Bin Qasim Thermal Power Station Unit No. 1, 2, 3 of KESC

PHOTO : A view of Turbine of KESC's Unit No.3 of Bin Qasim Thermal Power Station

Syed Muzaffar Ali Shah Managing Director-KESC

PHOTO : A view of Turbine of KESC's Unit No. 3 of Bin Qasim Thermal Power Station
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Publication:Economic Review
Date:Mar 1, 1991
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