The Pakistani government has decided to significantly increase the use of indigenous Thar coal for power generation in a strategic move expected to reduce the country's annual import bill by $2 billion.
According to government officials, the first phase of this energy transition will focus on converting the 600-megawatt Lucky Power Plant to run on locally sourced coal. Officials confirmed that a 120-kilometer railway line connecting Thar to Chor will be completed by December to facilitate coal transportation.
The transition will continue in a second phase, which includes plans to convert both the Sahiwal and Bin Qasim power plants to operate using domestic coal resources. Officials noted that Lucky Power Plant's technology was originally designed to utilize local coal specifications, while other plants currently using imported coal will require technological modifications.
Beyond power generation, authorities plan to make Thar coal accessible to cement factories and other industrial sectors, expanding its economic impact across multiple industries.
Government representatives emphasized that switching from imported coal to local resources will deliver substantial economic benefits, projecting annual savings of approximately $2 billion on the national import bill.
This initiative represents a significant shift in Pakistan's energy policy, prioritizing domestic resources to reduce dependency on foreign imports while utilizing the country's abundant Thar coal reserves.