Energy Security

in PAKISTAN
Pakistan is in the midst of an energy crisis, facing a deficit of more than 7,000 megawatts (MW)
and the deficit is currently increasing by a rate of 2% per annum.
Only 70% of houses have access to the National Grid and few ever experience
uninterrupted power, especially in rural areas.
The problem is so large there are fears it could bring down the government.

Why?
Over the last 10 years:

Population Growth Economic Growth Increased Consumption

Up 36 million, now the world’s GDP increasing by an average Up over 23% since 2014
6th most populous nation 5% per year to 73.6 MTOE*
( *Million tonnes of oil equivalent )

Militant Attacks Reliance on Imports Government Infrastructure

Power stations, power lines and gas Oil and increasingly gas, Prices are kept low and many
pipe lines have all been targeted need to be imported don’t pay their bills

Where Does Pakistan Currently

get its Energy?

8,02 GW 6,61 GW 6,61 GW 1,32 GW <0.13 GW 5-6 GW

35% 29% 29% 6% <1%

Oil Gas Hydropower Nuclear Other Shortfall

(including solar and coal)

What are Pakistan’s Options?

Hydropower
Seen by many as the best solution.

• Threat to the environment,

• Currently producing 7.2 MTOE
both flooding and desertification

• Plan to increase production to 26,200 by 2030 • Indus River alone potential to generate 40,000 MW

• Domestic – does not depend on imports • Dasu Hydropower Project due for completion in 2019

• Cheapest renewable option per unit

• Karot Hydropower Project on Jhelum River due in 2020
to generate Rs 1.50 ($0.02 USD)

• Expensive upfront costs • Neelum Jhelum plant due to complete 2016

Gas

• First discovered in Pakistan in 1952

• Sui gas field largest in Pakistan
• Production falling domestically
• 75% drop in the liquefied natural gas (LNG)
• Estimated 8000 billion cubic metres prices since 2014
remaining in Pakistan
• Plans to import up to 20 million tons by 2018
• Expected to deplete domestic reserves circa 2035

Oil

• Most must be imported • Finite resource

• Prices dropped heavily in last two years • Environmentally unfriendly

Wind

• Turbines are incredibly space efficient

• Operational costs are low

• 9,700 sq km wind corridor in Sindh,

• Can cause high levels of noise pollution
with potential to produce 43,000 MW

• Set up costs are high, but have • Threat to native birds and bats
dropped 80% since 1980

Solar

• Suitable for remote locations

• Pakistan’s weather is suited, with few cloudy days,
average 9.5 hours daily sun light
• High set up cost and expensive to repair
• Low running costs

• In its infancy – 1st solar park opened in 2012

Nuclear

• Karachi Nuclear Power plant, the first in Pakistan • Low operating costs once running
was commissioned in 1972

• Highly controversial, especially close to populated areas

• Expensive to set up

Conclusion
Hydropower appears to be the most likely source of power to help Pakistan achieve energy security in the short term, with a number
of key projects in the pipeline.

Long term security is likely only to be achieved through a combination of many of the above methods and a growing number of
projects in each are expected over the coming years.

If you’re interested in working on projects in any of the mentioned energy fields please visit procorre.com

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