SC declares Lakhra Power Plant agreement illegal

Dunya News

Supreme Court has cancelled Lakhra Power Plant Agreement.

ISLAMABAD (Web Desk) - In its order‚ a three-member bench headed by Chief Justice Iftikhar Muhammad Chaudhry said that the agreement between WAPDA and Associated Group was not transparent as violations were committed in grant of the plant on lease.

The apex court also ordered the government to take action against those responsible. 

The court had taken up an appeal by Habibullah Energy Limited (HEL) against the Sindh High Court’s Dec 2007 order of handing over the Lakhra power plant to the Associated Power Generation Group.

The 150MW plant set up in 1995 is situated in Khanote village on the right bank of the Indus, about 50km from Hyderabad. It comprises three units of 50MW each. It was designed on the fluidised bed combustion technology introduced in Pakistan by the Chinese using indigenous lignite coal as fuel.