Wagon shortage threatens Sahiwal coal plant operations, warns Chinese operator

ISLAMABAD: A severe shortage of railway wagons is threatening the operations of the Sahiwal coal-fired power plant, one of Pakistan’s flagship CPEC projects, potentially triggering a forced shutdown and destabilizing the national grid, the plant’s operator has warned.

Operated by Chinese firm Huaneng Shandong Ruyi (Pakistan) Energy (HSRL), the 1,320 MW plant depends on coal transported from Karachi ports via Pakistan Railways. But despite repeated appeals, the supply of wagons remains far below the daily requirement of 1,000 wagons, averaging just 540 to 590 wagons per day.

HSRL’s CEO Liu Zeng Rui has formally raised the issue with top federal authorities, citing that the mismatch between high power dispatch demands and low coal transport capacity could deplete the plant’s on-site coal stock to dangerously low levels by mid-August.

⚠️ Mounting Pressure on Coal Supply Chain

From May to July 2025, the shortfall in wagon availability remained consistently above 44%, as outlined by the plant:

  • May: Received only 3,019 of 6,200 wagons

  • June: Received 2,923 of 5,800 wagons

  • July: Received 3,001 of 5,800 wagons

Meanwhile, over 500,000 metric tons of coal are stranded at Karachi ports, with additional vessel arrivals expected in August and beyond. Unless resolved, the issue may soon cripple plant operations, the company warned.

🔧 Rail bottlenecks and declining fleet

The situation is worsened by a growing number of damaged freight wagons, declining operational fleet capacity, and competition from other power and industrial clients relying on similar wagons.

HSRL has requested three urgent actions:

  • Immediate coordination to allocate enough wagons to meet daily transport needs

  • Temporary reduction in power dispatch if coal transport limits persist

  • Waiver of penalties if power generation halts due to coal shortage

The company also urged Pakistan Railways to speed up repairs of damaged wagons and share a formal wagon restoration and expansion plan to meet long-term transport needs.

“The Sahiwal power plant remains committed to grid stability and is ready to share all operational data. However, urgent multi-agency intervention is now critical to prevent a national power crisis,” the company stated.