ISLAMABAD: Contrary to the high hopes pinned on the visit of a South Korean public and private sector delegation with regard to signing of agreements for installation of power plants, no final decision could be taken and the visiting team returned without inking any accord.

"Like the past, the hosts could not earn any benefit for the country from the visit of the Korean delegation as no fruitful decision could be taken," an official said, requesting anonymity.

"The four-member delegation of Korean power companies -- Kepco and Doosan -- arrived here on April 22 for a three-day visit to discuss ways for helping Pakistan overcome the power crisis," he said.

Kepco is a public sector Korean power company while Doosan is its private sector counterpart and their joint delegation visited Pakistan with the approval of the Korean government. The official said that the Korean team visited Pakistan with a view to build up a strategic partnership in the power generation and industrial sectors. He said the visiting team met Planning Commission Deputy Chairman Dr Akram Sheikh and held meetings and attended presentations at the Heavy Mechanical Complex (HMC), Taxila, and the Islamabad Electric Supply Company.

He said the Korean team also held meetings with senior officials of the Pakistan Electric Power Company and Water & Power Development Authority (Wapda)."A presentation was made by HMC managing director on the factory premises to apprise the delegation of the HMC capacity to manufacture power plant equipment, such as boilers and balance of plant equipment," the official said. "Current programmes to upgrade and modernise HMC were also discussed."

According to the official, the HMC submitted a tentative list of equipment which could be produced locally. The initial reaction of the Korean team was that the HMC, with its existing capabilities, could manufacture about 25 per cent (by value) of boiler and balance of plant equipment. However, he added, considerable upgrading may be required at the HMC.

"The exact capabilities of the HMC and its upgrading requirements could be determined only after a visit by a technical team from Korea, and the share of local manufacturing will increase with the number of plants installed in Pakistan," the official said.

The official said the Korean delegation was requested to assist Pakistan in setting up large coal-fired power stations based on domestic coal, particularly from Thar, with technology transfer for manufacturing of plants in Pakistan, especially at the HMC.

He said the delegation showed interest to help Pakistan to set up large coal-fired power station but it could be based on imported coal in the first phase. "Thar coal was not considered a viable option at this stage because it was not considered economical or technically feasible but it will certainly be used when available," he said.

"The Korean delegation offered a 2,800 MW plant (four units of 700 MW each) based on super critical technology, which is considered to be extremely efficient. Korea is a global leader in this technology.

Gradual localisation and progressive manufacture of parts of a thermal plant could be considered at the HMC after full technical and capability assessment by the technical experts from Doosan and Kepco," he said.

The official said the delegation was briefed by Wapda on the hydropower projects, including Kohala, Doyian and Lawi. He said the feasibility study, detail design and preparation of tender documents for Kohala project (being carried out by a joint venture of international and local consultants) would be ready by August next year. He said the Korean delegation offered to submit their proposals to the Pakistan government within one month.

"The two sides wished to consolidate a long-term strategic partnership in the power sector and define this relationship on a fast track.

The two sides agreed that further commitments on technology transfer or exclusive award of power plant contracts will be determined after exchange of delegations by the two sides," the official said. "The first mutual exchange of delegations will be completed by the end of the current month."

The Pakistan government wants to initiate some power projects on war footing to end the power crisis in the country so that the general public and local industry benefit alike but it seems the visit of the Korean team would not help in this regard, the official remarked. "So, there was no progress to achieve the goal of ending the energy crisis in the short term."