Thar coal to replace imports

The federal and Sindh governments are advancing a rail link to move Thar coal to power plants that currently burn imported coal, as well as to industrial users. The Express Tribune reported that the Economic Coordination Committee was briefed on the project, which has been approved by Ecnec and will connect Thar with the existing railway network, including a final link to Port Qasim.

The project is to be funded equally by the federal and Sindh governments, with Rs2 billion allocated from the federal PSDP for 2026-27 and matching provincial funds transferred. A proposed Rs10 billion technical supplementary grant would provide budget cover for funds already supplied by Sindh, rather than add a new federal spending commitment. Officials said using local coal could lower electricity costs and give industries, including cement makers, cheaper fuel.