Pakistan’s Thar Coal and Energy Board has approved four new Thar coal reserve projects that will generate 2450MW, with plans to augment power generating capacity to 10,000MW by 2020. Overall, Pakistan aims to increase power generation to 54,000MW by 2015. The Planning Commission will set up a 50MW underground coal gasification plant within a year, using indigenous technology and aided by a nuclear scientist. The pilot plant will be increased in capacity to 1,000 MW in three years. In a joint venture with the Sindh provincial government, Engro Chemical Pakistan Ltd aims to set up a 1000MW power plant, which will be increased to 4000MW of capacity over the next four to six years, while the Pakistan Electric Power Co. Ltd will set up a 1000MW gasification plant. In another project, Cougar Energy Ltd, a subsidiary of Cougar Energy Ltd, has signed a memorandum of understanding with the Sindh Coal Authority to develop a 400MW power plant that will be fuelled by underground coal gasification. Both the Pepco and Cougar plants will see capacity augmentation in the later stages. The Federal government of Pakistan and the Sindh provincial government plan to invest USD 963 million in infrastructure projects in Thar during the next two to five years to assist investors in exploiting the estimated 185 billion tons of coal reserves. In addition to the proposed power plants, diesel and fertilizer products are expected to be developed from the underground gasification of the coal reserves.In other power projects, the Executive Committee of the National Economic Council recently approved the construction of the Diamer-Basha Dam project for generating hydroelectricity at a projected cost of USD 12.6 billion. Construction is planned to start in September 2009, and completion is expected some time in 2016. Construction on the 5450MW Bunji hydroelectric power plant is also expected to start soon.