ISLAMABAD: M/s Amreli Steels Ltd (ASL) has approached Prime Minister Shehbaz Sharif and relevant authorities for permission to sell surplus solar energy to K-Electric on a B2B basis.
In a letter to the Prime Minister and other officials, Chairman of Amreli Steels, Abbas Akber Ali, outlined issues concerning the utilization of their 7.1 MWp PV Solar Plant. “Due to the current economic conditions in the country, the solar plant remains underutilized, with operations shutting down for approximately half of each month. This results in a significant amount of clean, cost-effective solar electricity being wasted,” Mr. Ali stated. He noted that this underutilization not only incurs financial losses for Amreli Steels but also deprives the national grid of low-cost renewable energy.
Chairman Ali emphasized the need for NEPRA’s permission to enter into a bilateral agreement with K-Electric, which would allow the steel unit to supply its surplus solar power, thereby injecting affordable and clean energy into the grid. “We believe that the government and concerned authorities should implement strategic policy measures to integrate this surplus renewable energy into the national grid. This would optimize the use of cheaper, cleaner energy and contribute to the objectives outlined in the ARE Policy 2019,” he maintained.
The primary goals of the policy include environmental protection through increased adoption of green energy and achieving cost-effective on-grid power generation. Integrating surplus renewable energy aligns with clause 1.4.4 of the ARE Policy 2019, which emphasizes the “Displacement of Expensive Energy.”
Mr. Ali further explained that this integration incurs no additional interconnection costs, and transmission and distribution losses are minimal due to the 132kV voltage level connectivity. Clause 5.6.6 of the National Electricity Policy 2021 highlights the importance of adopting distributed generation, while Section 14A of the Regulation of Generation, Transmission and Distribution of Electric Power Act, 1997 (as amended) calls for special provisions to support a sustainable renewable energy market with a progressively increasing share in the electricity market.
“We believe this proposed arrangement serves the national interest, as it will enhance the efficient utilization of renewable resources, reduce overall energy costs, and support our shared goal of increasing the adoption of green energy. The benefits of this initiative extend to various stakeholders, including the power ministry, NEPRA, K-Electric, and the broader public,” he concluded.
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