CONCEPT PAPER Bunji Hydro-Power Project

Concept Paper Series | Energy | Version 1 | Serial No. ENG-1

Prepared on November 28 2!!" by# Dr. Junaid Ahmad $nvestment %dvisor Government o& Pa'istan (inistry o& )inance *E+ternal )inance ,ing./0 bloc' Pa'istan Secretariat $slamabad. 1el# 232-41 32!54!6

Bunji Hydro-Power Project

)a+# 232-41 32!54!6 E-(ail# dr78naid.mo&9cyber.net.p'

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BACKGROUND 1:e Pa'istan ,ater and Po;er <evelopment %8t:ority *,%P<%- la8nc:ed a 24 year compre:ensive integrated program =,ater >eso8rces and ?ydro Po;er <evelopment @ Vision 2!24 programA in 2!!1. 1:is program aims at t:e development o& ;ater storage pro7ects as ;ell as :arnessing t:e ?ydro-Po;er potential in t:e Co8ntry. 1:e B8n7i ?ydro Po;er Pro7ect is p8rely a ?ydro-Po;er Pro7ect and is incl8ded in t:is program. Earlier t:e GoP :ad engaged (ontreal Engineering Company to prepare an inventory and ran'ing st8dy o& t:e potential storage and ?ydro-Po;er Generation sites along t:e 8pper reac:es o& $nd8s river Ce:l8m above (angla and t:e S;at and C:itral basins. %ccording to t:e st8dy s8bmitted by (ontreal Engineering in 138D B8n7i ?ydro-Po;er Pro7ect ;as ran'ed 5rd in economic merit a&ter Bas:a and <as8 on $nd8s river. INTRODUCTION ,%P<% commissioned B8n7i ?ydro-Po;er Cons8ltants to prepare a pre-&easibility st8dy o& t:e Pro7ect in Can 2!!5 and t:e report :as been s8bmitted by t:e cons8ltants in Can 2!!4. %ccording to t:is pre-&easibility st8dy t:e dam is to be located near B8n7i Village abo8t 85 Em &rom Gilgit. 1:e Po;er :o8se ;ill be an 8ndergro8nd str8ct8re. 1:e coordinates o& t:e dam and t:e Po;er :o8se are# SITE <%( *<2BPo;er :o8se *P2*Meter above Sea Level

LATITUDE 54o - D50 @ 22A 54o - D20 @ 4!A

LONGITUDE 6Do - DD0 @ 2"A 6Do - 530 @ DDA

ATER LE!EL "#$%$&$'() 14!! 12D!

% gravity >oller Compacted Concrete *>CC- dam :as been selected ;it: ma+im8m operating level o& 1""! m.a.s.l. )o8r :ig: level 12."m diameter 8nlined lo; press8re :eadrace t8nnels ;ill convey design disc:arge o& 14!!m 5Fsecond to;ards t:e 12 t8rbo generating 8nits to be located in an 8ndergro8nd cavern. )o8r tailrace t8nnels eac: :aving a lengt: o& 4"!m &ollo;ed by an 114!m long open c:annel ;ill disc:arge t:e generation &lo;s bac' to t:e $nd8s river. 1:e plant &actor :as been ta'en as D4G ;:ic: gives an energy o& 2!64! G,:Fa. %n a8+iliary po;er :o8se :as also been proposed 78st do;nstream o& t:e proposed dam ;:ic: ;ill generate 48(,F:. 1:e pre-&easibility st8dy incl8des detailed eval8ation o& geological iss8es neotectonic &actors environmental considerations :ydrology and sedimentation. Engineering provisions :ave been 'ept in t:e design to ta'e care o& t:e vario8s &actors relating to t:e &a8lt Hone passing near by. <rilling at t:e proposed dam site s:o;s t:at solid :ard roc's o& granitic gneiss amp:ibolites and diorite type e+ist in ab8ndance.

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Good I8ality sand and gravel &or aggregate is also available in :8ge I8antity near t:e po;er :o8se area. %ccording to t:e pre-&easibility st8dy t:e li&e o& B8n7i <am ;ill be 11! years. TRANS*ISSION LINE 1:e transmission line &or t:e B8n7i Pro7ect :as been proposed t:ro8g: E8n:ar Valley. 1:e cons8ltants :ave eval8ated all t:ree 4!!EV%C 6"4EV%C and +*-- 4!!EV ?V<C systems. 1:e cons8ltants :ave re7ected + t:e 4!! EV%C on tec:nical gro8nds. 1:e ot:er t;o options are tec:nically and economically viable. COST ESTI*ATES 1:e civil and EJ( cost :as been estimated at KSL 2!3".4 million. 1ransmission line cost :as been ;or'ed o8t as KSL 8D! million. $nterest d8ring constr8ction *$<C- KSL 883.35" million. 1:ere&ore t:e total pro7ect cost :as been estimated at KSL 582".586 million. 1:ese estimates are based on present international mar'et prices ;it: an escalation &actor o& 1!G and interest rate o& 1!G. ECONO*IC ANAL,SIS Economic analyses o& t:e pro7ect incl8ded a selection bet;een options and pro7ect siHing incl8ding dam :eig:t optimiHation. Pro7ect cost ;it:o8t $<C b8t ;it: transmission 8p to load centers at Ma:ore and )aisalabad :as been estimated to be KSL 582" million. Economic analysis o& t:e proposed B8n7i ?ydro Po;er Pro7ect :as been 8nderta'en on t:e basis o& bene&its estimated 8sing long r8n marginal cost *M>(C- and t:ermal eI8ivalent basis and on cons8mer s8rpl8s basis. 1:e analysis based on all t:ree met:ods is as &ollo;s# De&cri-tion NP! US. *i''ion M>(E Basis 1826 1:ermal EI8ivalent Basis 1358 Cons8mer S8rpl8s Basis 2D88 SALIIENT 0EATURES O0 THE PROPOSED SCHE*E 1:e salient &eat8res o& t:e proposed sc:eme are as 8nder# $nstalled Capacity %nn8al Energy 1otal Estimated Pro7ect Cost *$ncl8ding $<C J 1ransmission to Ma:oreCost per E,F: NPV <am ?eig:t and 1ype Gross ?ead $nta'e 18nnels Mengt: <ia 4D4! (, 2!64! G,:Fa KSL 582" million KS Cents 2.22 KSL D5D5 million 18! m >CC D2! m ".5 Em 12." m
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IRR/ 21.45 25.41 22.42

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/ty Po;er:o8se 1ype S;itc:yard 18rbine 1ype 18rbine Knits 1ransmission Voltage <esign <isc:arge >esettlement $mpact S8bmergence o& >oads EE? S'ard8 >oad Sc:eme 1ype Plant )actor

D Nos. Cavern Npen N8tdoor )rancis 12 Nos. D4! (, eac: 2O4!! E?V< or (, eac: 14!! m5Fsec (inimal N$M 16Em >8n-o&->iver D4G

NE1T STEP"S( % detailed tec:no economic st8dy needs to be commissioned earliest to validate t:e &indings o& t:e pre-&easibility st8dy prepared by B8n7i ?ydro Po;er Cons8ltants.

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