China Three Gorges aids Pakistan projects

China Three Gorges Corp, operator of the world's largest hydroelectric power project, has made great strides in strengthening cooperation with Pakistan in clean energy development as the countries' relationship enters a new era.

China and Pakistan consider each other to be strategic partners. In China, netizens refer to Pakistan as "batie" (literally, Pakistan pals) for the country's support and assistance, especially in times of natural disasters, such as the Wenchuan earthquake that left more than 90,000 dead or missing in Sichuan province in 2008. There are also popular online expressions such as "If you love China, please love Pakistan as well."

The countries have decided to push forward the construction of a $46-billion 3,000-kilometer China-Pakistan Economic Corridor within the framework of China's initiatives of the Silk Road Economic Belt and the 21st Century Maritime Silk Road.

Lu Chun, chairman of China Three Gorges Corporation, recently visited Pakistan and met with the country's top leaders, including President Mamnoon Hussain and Premier Nawaz Sharif. They discussed the building of a major hydropower project in the upper stream of the Indus River.

The corporation signed two memorandums on personnel training and project operation with the Water and Power Development Authority of Pakistan.

Lu also met with officials including the Minister of Water and Power Khawaja Muhammad Asif and Minister of Finance and Revenue Mohammad Ishaq Dar, as well as representatives from international financial institutions including the World Bank and the Asian Development Bank. They discussed such issues as financial cooperation in the development of clean energy in Pakistan.

Lu also attended a ceremony marking the completion of the corporation's first wind power project together with Minister Asif in the southern Sindh province.

As the wind power project was the first completed and ahead of schedule, it won praise from the Pakistani government and industry insiders.

In 2009, the corporation tapped the clean energy market in Pakistan. By February this year, the company had launched eight green field investment projects in Pakistan and is considering another five projects worth a total of more than $15 billion, making it the Chinese electric enterprise with the most investment in the country.

Pakistan boasts rich resources of hydropower, wind power and solar power. However, the country relies heavily on thermal power plants. Electricity shortages have greatly hindered the country's economic development.

All the China Three Gorges Corp projects in Pakistan are environmentally friendly. Once completed, the projects would significantly help the country to reduce its dependence on imported oil and gas supplies and slash its electricity prices.

Differing from the pattern of traditional China-Pakistan economic cooperation, the company focused on investment in the country and introduced an entire industrial chain that features advanced hydropower technologies, sophisticated operation and management, as well as mechanical and electrical products.

In addition, the corporation actively fulfilled its social responsibility in the country, by improving local infrastructure, offering training sessions for engineers and studying local hydropower resources.

China Three Gorges Corp has rich experience in developing clean energy overseas. By the end of 2014, the company had invested in and contracted to build 81 overseas projects. At the end of 2011, the corporation acquired a 21.35-percent stake in Energias de Portugal SA for 2.69 billion euros ($2.86 billion) and became its single largest shareholder.

Five of the 10 largest hydropower stations in the world are built, operated and managed by the corporation. The company boasts 58 sets of turbine generators with a capacity of 700 MW or higher, accounting for almost half the number of such generators in the world.

With its advantages in brand name, technology, management and funding, the corporation will further increase its investment in clean energy development in Pakistan and provide reliable clean energy for the China-Pakistan Economic Corridor and Pakistan's sustainable economic development, Lu said.

The corporation is speeding up the construction of eight green field investment projects in Pakistan, the total investment in which is expected to reach $7.5 billion, Lu said. It is also planning to acquire partial ownership of five existing energy facilities in the country that are worth more than $7.5 billion. The projects are expected to increase Pakistan's power generation capacity by 32 billion kilowatt hours a year before 2025, Lu said.

The corporation has reached agreement with the Pakistani government to build large-scale hydropower stations in the upper stream of the Indus River. The total installed capacity of the project is expected to exceed 200 GW by 2030, equivalent to the scale of the Three Gorges Project. The project will provide strong energy support for the China-Pakistan Economic Corridor.

The corporation is also planning to connect the China State Grid with that of Pakistan through joint cooperation with China's State Grid and Pakistan's National Transmission& Despatch Company, Lu said.

dongjidong@chinadaily.com.cn

(China Daily 04/21/2015 page5)