Islamabad: The Pakistan Atomic Energy Commission (PAEC) is set to construct the 1,200 MW Chashma Nuclear Power Plant-5 (C-5) at an estimated cost of PKR 1.12 trillion, according to a news article on January 6.
As per the details, the project is scheduled for completion within 81 months. In preparation for the plant’s construction, PAEC has requested approval from the National Electric Power Regulatory Authority (NEPRA) for a levelised tariff of PKR 16.73 per unit, which will be applicable for the next 40 years. The proposed tariff will start at PKR 19.82 per unit for the first 12 years and decrease to PKR 9.63 per unit for the remaining 28 years. NEPRA has approved the petition.
The financing for the project will be structured with 19 % equity and 81% debt. China will finance the debt portion of the project at a 3% interest rate, with a loan repayment period of 12 years and a grace period of 8 years. Assumptions regarding exchange rates for the project include PKR 280 per US dollar, PKR 38.50 per Chinese RMB, and RMB 7.27 per US dollar.
The construction budget allocates PKR 965.8 billion for EPC (engineering, procurement, and construction) costs, PKR 69.4 billion for non-EPC costs, and PKR 89.5 billion for interest during construction. PAEC has also requested a 14.50% annual return on equity, with plans for equity redemption over a span of 28 years.
As a graduate in English Literature, Zohaib believes that words are not just a mere figment of imagination. It takes wisdom to be good at them. Following this reason, he is pursuing his career as Public Relations and Content Specialist at Zameen.com.
