Islamabad, The Private Power and Infrastructure Board (PPIB), in a collaborative effort with the Agence Française de Développement (AFD) of France, hosted a significant workshop today focused on enhancing the mechanism for tariff-based bidding of hydropower projects in Pakistan. This event was a notable gathering of stakeholders from various sectors, including government representatives, industry experts, investors, and banking institutions, both local and international. The main purpose was to discuss the advancement of hydropower projects through tariff-based bidding, emphasizing its importance for the energy sector’s development in Pakistan.
According to Private Power and Infrastructure Board, the workshop featured the presentation of draft generic Request for Proposals (RFP) documents for hydropower Independent Power Producers (IPPs). These documents, prepared by the Joint Venture – Tractebel GmbH, Germany and NDC (the ‘Consultant’), are designed in accordance with international best practices and local regulatory frameworks. Mr. Shah Jahan Mirza, Managing Director of PPIB, highlighted the significance of transitioning to competitive bidding for project awards, marking it as a critical step towards more efficient and cost-effective energy production in the country.
The workshop facilitated extensive discussions on the RFP’s key elements and its potential to improve the bidding process for hydropower projects. Participants engaged in lively debates and knowledge exchange, focusing on strategies to accelerate hydropower development in Pakistan. The collective aim is to achieve a sustainable, reliable, and eco-friendly energy supply at lower costs, reflecting a commitment to the nation’s energy security and environmental well-being.
Mr. Mirza expressed appreciation for the contributions of AFD, the Consultant, and all attendees towards the workshop’s success. He noted PPIB’s achievements in attracting private investment for hydropower IPPs, with four projects totaling over 1,000 MW completed and another 13, amounting to 5,455 MW, in various stages of development. The anticipated operation of the 884 MW Suki Kinari project by November 2024 was highlighted as evidence of progress. Additionally, PPIB’s facilitation has supported the successful implementation of 54 renewable energy IPPs, showcasing the board’s commitment to diversifying Pakistan’s energy portfolio.