sindh govt, engro sign agreement for thar coal
September 9, 2009
The News - The Sindh government and Engro signed an agreement on Tuesday under public-private partnership for mining in Thar coal. A 600- to 1,000-megawatt power plant will be set up as part of the agreement, which was signed at the Chief Minister House.
Sindh-Engro Coal Mining Company would also be established, and will carry out a feasibility study. Under the agreement, the Sindh government’s share in the investment will be 40 per cent, while Engro will invest 60 per cent. The feasibility report is expected to be completed within 18 months. The company would ensure training to local people while two percent of profits will be spent on social activities in Thar. Ten people will sit on the company’s board of directors, while its chairman will be appointed in consultation with the Sindh government and the Engro chief executive officer.
Sindh Chief Minister Qaim Ali Shah said that this will be the country’s biggest project under public-private partnership. The entire process was undertaken with transparency and six groups took part in it. There are a total of eight blocks in Thar and study about two blocks had been completed while efforts have been taken for mining, he said. People in Thar who are affected by this project will be provided alternative facilities, adding that apart from creating job opportunities, these projects will help control the energy crisis in the country.
