In Landmark Judgment, NEPRA Approves IGCEP 2021-30

In a landmark judgment/determination, National Electric Power Regulatory Authority (NEPRA) has approved the first ever Indicative Generation Capacity Expansion Plan 2021-30 (IGCEP-2021) in terms of the relative provisions of the Grid Code of National Transmission and Desptach Company (NTDC).

ISLAMABAD, (UrduPoint / Pakistan Point News - 24th Sep, 2021 ) :In a landmark judgment/determination, National Electric Power Regulatory Authority (NEPRA) has approved the first ever Indicative Generation Capacity Expansion Plan 2021-30 (IGCEP-2021) in terms of the relative provisions of the Grid Code of National Transmission and Desptach Company (NTDC).

It is pertinent to mention that IGCEP will be a dynamic document covering a planning horizon of 10 years and will be revised every year, said a press release.

It will act as a Primary document for adding new capacity for generation to meet with the future demand in a scientific and systematic manner thus avoiding the boom and bust cycle which we have experienced in the past.

According to the IGCEP, the energy mix of the country which is currently highly skewed towards imported fuels including Coal, Furnace Oil and RLNG will be substituted with indigenous resources including Hydel, local coal, Bagasse, Wind and Solar on least cost basis.

The use of furnace oil will be reduced to 2% only from current usage of 19%. Similarly, the use RLNG and Imported coal will be decreased to 11% and 8% from their current usage of 17% and 11% respectively.

At the same time, there will be massive increase in the contribution of hydel and other Renewable Energy Resources including Bagasse, wind and solar.

The contribution of hydel, wind and solar which currently stands at 28%, 4% and 1% respectively will be increased to 39%, 8% and 13%, thereby increasing the total share of RE to the tune of more than 60%. It is pertinent to mention that on the recommendations of NEPRA, Council of Common Interest (CCI) has approved inclusion of hydro in the RE category which has resulted in immediate increase in the foot print of RE of Pakistan to 34%.

The Authority feels extremely satisfied that proposed IGCEP is based on exploration of indigenous and Renewable Energy resources for generation of low cost environment friendly electricity.

The Authority appreciates the efforts of the young engineers of the planning department of NTDC which developed the IGCEP using indigenous capability.

Further, the Authority recognizes the efforts of all other stakeholders specially the energy departments of the provinces and Power Division of Ministry of Energy which have provided their very useful input in preparing this IGCEP and improving the same.

The Authority loudly recognizes and congratulates CCI for approving the initial assumptions for this IGCEP which paved the way for its speedy approval by the regulator.