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Press release on the occasion of AEDB Declaration ceremony of " Financial Close of Foundation Wind Energy-1 Limited" is published on Fauji website as per instructions. …

 

Islamabad: 24 July 2013 - AEDB today declared the achievement of financial closing for 50 MW wind power project of M/s Foundation Wind Energy-I Ltd (“FWEL-I”) located at Gharo, Distt: Thatta, Sindh.The announcement was made in a ceremony held at the Committee Room, Ministry of Water & Power. During the ceremony, AEDB also issued the Guarantee on behalf ofGovernment of Pakistan in favor of the Foundation Wind Energy-I Limited. The document was signed by Brig. Dr. Gulfam Alam, SI (M) (Retd), Member Board / Project Director on behalf of Foundation Wind Energy-I Limited and Engr. Dr.BasharatHasan Bashir, CEO AEDB, on behalf of the Government of Pakistan.


Foundation Wind Energy-I Limited is an independent subsidiary of a prestigious national organization, Fauji Foundation.

Managing Director, Fauji Foundation, Lt. General Muhammad Mustafa Khan, HI (M)(Retd), speaking on the occasion, briefed about the project. He informed that Fauji Foundation is developing two wind farms at Gharo, Thatta, Sindh having EPC cost of approx. US $ 223 Millionwhich being financed by Asian Development Bank and Islamic Development Bank and a syndicate of local banks led by National Bank of Pakistan. For FWEL-I, which has achieved Financial Close today, have debt financing equal to 75% of the project cost, is Sharia Complaint basis and is the first of its kind in Pakistan. The remaining 25% of the project cost is being financed via equity investment, 65% arranged by Fauji Foundation group (Fauji Foundation and Fauji Fertilizer Bin Qasim Ltd) and 35% by CapAsia,Malaysia.

 

He said that the Engineering, Procurement and Construction (EPC) Contractors of both the projects is a consortium comprising of M/s Nordex Germany & M/s Descon Engineering Limited, Pakistan. Both the projects are being installed with twenty (20) Nordex Wind Turbines having a capacity of 2.5 MW each. The combined total energy output of both the projects is approx. 288 GwH per annum.He further added that onsite construction works are already in progress and these two projects are targeting Commercial Operation during third quarter of 2014 and.

Khawaja Muhammad Asif, Federal Minister for Water & Power, on this occasion congratulated AEDB and Fauji Foundation for achieving this historical landmark in renewable energy sector. He said that Pakistan possesses immense wind resources, especially in the coastal areas of the country, which had remained untapped.

 

He said that Pakistan offers an investment friendly and lucrative wind energy market for the investors and equipment suppliers. The incentives offered in the Renewable Energy Policy are quite lucrative for private sector investment.

 

Khawaja Muhammad Asif praised the efforts of AEDB in facilitating the private sector companies.He said that the GOP is eyeing at commissioning of at least 1,000 MW through wind energy through private sector, and AEDB has to play a vital role in materializing this target. The Minister said that the governmentalso announced feed-in tariff (as fixed tariff) for wind projects. The Minister said that Federal Government was in contact with Sindh government for their cooperation in getting more land for wind project in Gharo-Ketibandar Wind Corridor. He said more corridors are being explored all over the country, and more wind masts are being installed in Baluchistan and Punjab. He also appreciated the AEDB team for its relentless efforts in achieving the success. He added that we are hopeful that it would be able to achieve the target with same spirit.

 

CEO AEDB, Engr. Dr.BasharatHasanalso appreciated the efforts of Fauji Foundation.  He said that NORDEX Germany is not only supplying turbines but also is EPC Contractor of the projects. Only a few years ago, the wind energy sector of Pakistan had little attraction to the investors and suppliers. Now seven (07) of the top ten (10) EPC contractors / manufacturers are ready to provide their services in Pakistan. The financing of projects has also become available with international financing institutions like IFC, ADB, OPIC, CAP ASIA are ready to finance wind power projects. The CEO AEDB indicated that wind energy sector is now becoming investors first choice. A number of private sector projects of around 3000 MW capacity are underway which would help in resolving energy crises situation. The CEO AEDB added that he would also like to highlight the efforts of NTDC/CPPA, NEPRA and BOI in materializing this project and others in pipeline. He also congratulated the AEDB wind team for this success, praised their dedicated and relentless efforts and hoped they would continue performing for better interest of the country.The CEO AEDB thanked the Minister for gracing this event and valued participation of all in sharing these cheerful moments.




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