You are currently viewing Kohat Cement eyes Q2 FY27 power plant commissioning

Kohat Cement eyes Q2 FY27 power plant commissioning

Kohat Cement Company Limited (KOHC) expects to commission its coal-fired power plant in Q2 FY27, aiming to improve energy efficiency and reduce operating costs, management said at the company’s Annual General Meeting. “The coal-fired power plant is progressing towards commissioning, with operations targeted for the second quarter of FY27, subject to completion of commissioning activities and required approvals,” management stated.

Management said solar power capacity has reached around 17-18MW and is expected to increase to 20MW by the end of the current financial year. The company is also evaluating a Battery Energy Storage System (BESS), with a proposal expected to be presented to the Board.

“The company’s fuel mix currently comprises around 66% imported coal and 34% local coal. Local coal procurement continues to face supply constraints and licensing issues, prompting consideration of greater reliance on imported coal,” management noted.

KOHC reported lower energy costs during FY26, with average power cost declining to Rs20.45 per kWh from Rs23.23 per kWh a year earlier, while grid electricity rates fell to Rs32.43 per kWh from Rs35.82 per kWh.

Management also disclosed that the company has proposed investing up to Rs600 million as a loan or advance to associated company Ultra Kraft (Pvt.) Ltd.

“Solar capacity has reached approximately 17-18MW, with a target of 20MW by the end of the current financial year,” management added.

Courtesy: Ahl Research

Leave a Reply