A Research On Risk Management Of Pakistan Jamshoro Coal Fire Power Plant EPC Project

With the decline of demand in Chinese domestic thermal power construction market and the policy encouragement from Chinese government,more and more Chinese power construction contractors are developing and expanding their international markets.Comparing with domestic projects,risk management during executing international thermal power plant project shall consider not only typical risks of thermal power plant projects,but also risks caused by local conditions including local policy,resource availability,traditions and religions,etc.In this background risk management in intermational thermal power plant projects have significantly difference with domestic projects.Pakistan is a traditional economic partner of China with a stable growing electricity market.According to development plan of Pakistan government,there will be a huge demand of thermal power plants in the next two decades.Therefore,the analysis of risk management of Pakistan thermal power plant projects is useful in helping Chinese contractors to improve management capabilities and to expand its market in Pakistan.The structure of this paper is as follows.Firstly,features of Pakistan thermal power plant EPC projects are analyzed.Secondly,typical theories and measures of risk management are introduced.Thirdly,through documentary research and expert interview,risk elements in Pakistan thermal power plant EPC projects are identified and summarized to a list of risks.Fourthly,risk elements are evaluated by applying analytic hierarchy process and leveled by Pareto diagram.Fifthly,targeted response measures are provided according to former experiences and local condition in Pakistan.Finally,risk management of Jamshoro Super-critical Coal fired Power Plant Project,a particular project under execution recently in Pakistan,is analyzed verify feasibility of the measures provided in this paper.Risk nanagement procedure,analyzing methods and risk response measures introduced in this paper can be applied by Chinese EPC contractors in the execution of thermal power plant projects in Pakistan.They can also be used for reference of risk control activities in similar projects.