Coal plant in Sahiwal expresses worry over insufficient railway wagons
The Sahiwal coal-fired power plant, a flagship project of the China-Pakistan Economic Corridor (CPEC), is currently facing a coal transportation issue. Operated by Huaneng Shandong Ruyi (Pakistan) Energy (Private) Limited (HSRL), the power plant is grappling with an acute shortage of railway wagons, a problem that has been exacerbated by the decline in the availability of healthy serviceable wagons.
HSRL has formally taken up the matter with key authorities, including the Special Assistant to the Prime Minister, requesting policy level interventions from relevant departments of Pakistan to coordinate sufficient wagon allocation for daily coal transportation. The Company has also sought a written update from Pakistan Railways on its action plan to improve wagon availability for long-term operational requirements.
The daily average supply of wagons remains around 540-590, against a requirement of five trains per day, or approximately 1,000 wagons. This gap in wagon supply has made it impossible to transport available coal inventory from Karachi ports to the plant in a timely manner. As a result, 470,000 MT of coal are waiting to be implemented for September-November.
To address this issue, HSRL has proposed several measures. These include urgent improvements in railway infrastructure for coal delivery, prioritizing investment in railway freight capacity dedicated to coal transport, and expediting the planned new railway line to facilitate efficient movement of Thar coal to power plants including Sahiwal.
In addition, the Company has emphasized the need for infrastructure upgrades and coordination between rail and power sectors to reduce logistic bottlenecks. Solutions may also involve increasing the fleet of coal wagons, improving scheduling efficiency for coal freight, and investing in rail infrastructure upgrades around Sahiwal to prevent disruptions and support the plant’s operational excellence.
Given the concerns about coal ash pollution near Sahiwal, environmental management should be integrated into coal transport and handling policies to mitigate toxic metal dispersal. Streamlining customs and regulatory processes for coal imports (if any) alongside developing domestic coal supply chains can also support uninterrupted fuel supply.
The continued shortfall in wagon availability could lead to a forced outage and pose a risk to national grid stability. To prevent this, HSRL has requested that no capacity payment deduction or liquidity damages be imposed in case of plant shutdown caused by coal shortage. If Pakistan Railways' transportation limitations cannot be resolved immediately, the Company has requested a temporary reduction in grid dispatch load to align with actual daily transport capacity.
Four vessels are scheduled to arrive at PQA in August carrying a total of 170,000 MT of coal. Approximately 500,000 MT of coal is currently available at Karachi Ports. These coal supplies, if efficiently transported, could alleviate the immediate pressure on the power plant.
In summary, urgent improvements in coal transportation to the Sahiwal power plant require a dramatic increase in railway wagon availability for coal transport, execution of planned rail link expansions for Thar coal, infrastructure upgrades and coordination between rail and power sectors, integration of environmental safeguards for coal and ash handling, and policy prioritization on indigenous coal supply chain strengthening. These interventions will help ensure the Sahiwal plant’s continued stable and efficient power generation, critical for Pakistan’s energy security.
- The shortage of railway wagons for coal transportation at the Sahiwal power plant poses a risk to national grid stability.
- In the sports of Defi, managing liquidity is crucial to prevent forced outages and ensure smooth operations.
- The coal index in the region has been affected due to the decline in the availability of healthy serviceable wagons for transportation, particularly for fire-related industries like power generation.
