BRI Factsheet Series – Sachal Wind Farm

In September 2017, Pakistan’s National Electric Power Regulatory Authority released the information that the share of wind power in the overall energy mix had increased by 0.46 per cent to 1.23 per cent. This brings the country closer to reach its 2030 target of 5 per cent wind-power of its overall electricity output. An important component of this wind power expansion is the Sachal Windfarm Project, a wind farm, developed on 275 hectare of land, with a total installed capacity of 49.5 MW. The project is located in the Jhimpir wind corridor in the Thatta District, Province of Sindh, being developed under the China-Pakistan Economic Corridor (CPEC) of the Belt and Road Initiative.

Sachal Windfarm Power Project, Credit: www.sedlpk.com

Project Information

Project name
Sachal Windfarm Project

Type
Energy 

Location
Jhimpir, Thatta District, Sindh Province, Pakistan

BRI Corridor
China-Pakistan Economic Corridor (CPEC)

Current Status
The project commenced commercial operation April 11, 2017.

Start of Construction
April 2015

Chinese Involvement
Engineering, Procurement and Construction (EPC) and Operation and Maintenance (O&M), Financing.

Projected Total Project Costs
USD 133.918 million

Capacity
The project consists a total of 33 1.5-megawatt wind turbine generators with an output of 49.5 MW and a predicted power supply to the grid of 136,500 MWh per annum.

Electricity Pricing
The National Transmission and Despatch Company (NTDC) will purchase electricity at a tariff of USD 0.14861/kWh. Compared with the Dawood Wind Power Project, also a China-backed 49.5 MW wind farm with a purchase tariff of  USD 0.1187/kWh, the electricity from the Sachal Wind Farm is more expensive.

Coordinating Ministry
Ministry of Water and Power

Supervising Agency
Alternative Energy Development Board (AEDB)

Operator
The Sachal wind farm is owned by  Sachal Energy Development (Pvt) Ltd (SEDPL), a wholly-owned subsidiary of the Arif Habib Corporation, one of the largest private sector conglomerates in Pakistan. SEDPL is committed to supplying electricity to the national grid through the NTDC for 20 years under an energy purchase agreement.

Financing
The Sachal wind farm project is the first project with signed loan agreement under China-Pakistan Economic Corridor (CPEC). The Industrial and Commercial Bank of China (ICBC) and SEDPL signed a loan agreement for the Sachal wind farm project in Beijing on February 15, 2015 (Sinosure backed financing). The interest rate of the loan is 6.10 per cent. Debt to Equity Ratio is 80:20 (Project debt: USD 107.13 million, project equity: USD 26.78 million).

Constructors
The windfarm has been constructed and maintained by Hydrochina. The wind turbine generators are manufactured by Chinese manufacturer Goldwind Science and Technology Co. LTD, the largest manufacturers of wind turbines in China.

Additional Project Information
– The Sachal wind farm is the first Pakistani-owned Early Harvest Project of CPEC
The rotor diameter of the turbines is 77m
The expected life time of the wind turbines is 20 years

Project Sustainability
The project contributes to a reduction in the number of black-outs and can improve the economic performance of  businesses connected to the grid;
– The project will contribute to zero-emission energy supply and thus reduce baseline CO2-emissions;
– The project is offering job opportunities to the local population during the operational period.

Further Information

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