KAPCO Starts Commercial Operations of 495 MW Plant

ISLAMABAD, SEPT 18 (DNA): Kot Addu Power Company Limited (PSX: KAPCO) has successfully completed the Initial Tested Capacity (ICT) and Initial Heat Rate Test (HRT) of 495 MW power plant, conducted on September 12, 2025. The Independent Engineer has issued the official test certificate. This marks KAPCO’s formal role as an Independent Power Producer (IPP) supplying electricity to the National Grid.

The Tripartite Power Purchase Agreement (TPPA), signed on June 4, 2025, following approval by the National Electric Power Regulatory Authority (NEPRA), required these tests before the TPPA could become effective. With completion of the tests, the TPPA is now effective from September 13, 2025, marking the Commercial Operation Date (COD).

Commenting on the milestone, Shahab Qadir, CEO of KAPCO, said: “The COD is a significant milestone for KAPCO and Pakistan’s Power Sector. From this date, KAPCO will supply electricity upto 495 MW from its plant to the National Grid and the Power Purchaser under NEPRA-approved tariff. With flexible fuel options—RLNG in summer and LSFO in winter—our plant will provide reliable and economical power, support grid stability, and contribute to the country’s economic growth.”

KAPCO has received requisite approvals from NEPRA and NTDC, with final tariff determination expected soon. The TPPA ensures structured payments for capacity, operations, and working capital, providing a stable framework for power supply.