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Energy Sector In Pakistan


has a direct impact on the standard of living of people and industrial side of the country and both of these are a good measure of economic development of a country. If people of a country are having a high standard of living and their industrial side is progressing well (means the exports are greater than the imports) than it is a clear sign that the country is making full use of its resources its growth rate is high.


are the main sources of energy in

A) Conventional sources

Conventional sources of energy are those source which are generally used In the country for the production of heat , electricity , and power . B) Non-conventional sources The less developing countries are now developing other renewable sources of energy . These sources are comparatively cheaper to those of conventional sources of energy and these sources have a simplified technology.



Thermal energy refers to the type of energy in

which heat is used to produce energy. Thermal energy sources in Pakistan:


COAL: Pakistan has huge reserves of coal which can be used to overcome the problem of energy crises in the country . The government of Pakistan is making hectic efforts to introduce the coal usage in the industrial sector. The machinery for these units is totally exempted from import duties and taxes. A coal based power plant of 150MW has been set up in the interior sindh. OIL: the government of Pakistan is making sincere efforts to find out new oil fields in the country .the policy is to attain self sufficiency in oil because oil as a source of energy is expensive if it is imported from other countries and it greatly increases the import bills of the country NATURAL GAS: Natural gas is also a precious gift of Allah to our country. huge deposits of natural gas has been discovered in many parts of Baluchistan and sindh.natural gas is a cheap sources of energy in comparison to oil and it can also play a great role in the industrial sector because it is used as a raw material in many industries like fertilizers


ENERGY Water flowing in the rivers has kinetic energy. Once they are used to drive the turbine and produce electricity the power generated as Hydel Energy. This energy can be converted into electrical energy. Two method are normally used:1. Dams 2. Run of River projects.

NUCLEAR ENERGY The importance of nuclear energy as a source of electricity generation is increasing very rapidly throughout the world as many developed as well as developing countries are making use of nuclear energy to generate electricity. the main fuel which is required to run the nuclear reactor is called uranium. With the grace of all mighty uranium is found in excess in Pakistan. at present there are two nuclear electric power generation plants in Pakistan namely Karachi nuclear power plant and chasma nuclear power plant


ENERGY Wind energy is a very cheap source of generating power. In windy areas,the windmills can be used for supplying electricity on a small scale the windmill can be used for pumping water for crops, grinding corn, crushing sugar cane, thrashing, cutting of wood etc etc. At present there are four mechanical wind pumpers and one wind power generation system has been set up.


ENERGY The sun provides 170000MW of power to earth on daily basis. The sunshine can also be used a cheap source of energy. Many developed countries as well as developing countries are now making use of the solar energy in order to fulfill their energy demand as it is a very cheap and easily available source of energy


It is produced from animal and plant wastes although it is a very cheap source of energy but it can not be used on the large scale like the solar and wind energy. However it can be utilized very well in the rural areas. As majority of our population live in villages they make the best use of this source of energy


independence Pakistan has built only 13 dams India has built more than 1,500 dams. China has built 80,000 dams out of which 20,000 dams are relatively large dams Including the worlds biggest hydro dam known as Three Gorges Dam (capacity of 22,500 MW).


has a potential of above 100,000

MW With identified sites of 59000 MW Including 44334 MW on Indus River alone. But due to
Infighting among various political parties, Corruption and Manipulation of bureaucracy nothing has been

done in this regard.


has been blessed with ample water resources but can store only 13% of the annual flow of its rivers. The storage is fast depleting due to sedimentation. All these statistics warrant construction of a number of reservoirs to enhance availability of water which stands at 1070 cubic meter per capita. Anything below 1000 cubic meter will lead to a water crisis.


regards to coal reserves there is increasing controversy among proven reserves of coal in Pakistan. Some experts believe that Pakistan has the worlds 2nd largest reserves while others claim to be the 5th largest. Similarly, Pakistan has the worlds 28th largest gas reserves according to World Fact Book.


the overall energy mix, the share of coal power is only 7% as compared to world average of 40%. Coal is the main source for producing cheaper electricity and the Government needs to enhance the share of coal in the overall energy mix of up to 18% by 2025.

Pakistan has 13 hydro power plants which are vital for the countrys energy requirement as well as key water reservoirs for agriculture. The electricity produced from these dams varies yearly from 6500 to 2300 in summer and winter respectively. Hydro electricity is still the cheapest source of electricity in Pakistan. Out of total capacity

6,555 MW is produced through Hydropower, 3,580 MW by Government (GENCOs), 8,295 MW by Independent Private Power Producers (IPPs) and 5 94 MW through Private Rental.



2008 MW

2011 MW 16,070 MW (68.64%) 6,555 MW (28%)


13,215 MW (65.32%) 6,555 MW (32.40%)



462 MW (2.28%)
20,232 MW

787 MW (3.36%)
23,412 MW


WAPDA is producing

hydropower at Rs.1.06 per


IPPs is producing thermal

power of Rs.9.07 per unit

Rental Power. is producing thermal power of Rs.14.74 per unit

Imbalance Energy Mix


Growing Energy Demand: Increase in Population Luxurious lifestyle Industrial and Agriculture growth Greater Transportation needs

Distribution Losses in Electricity PEPCO has line losses of 26% National Electric Power Regulatory Authority (NEPRA) line losses of up to 16%. Some distribution companies like Hyderabad Electric Supply Company, Peshawar Electric Supply Company, Quetta Electric Supply Company and Multan Electric Supply Company collectively losing Rs 90 Billion in distribution system. The most efficient of all is Islamabad Electric Supply Company with 8% distribution losses.

Distribution Losses in Electricity The losses are due to poor maintenance of WAPDA power generation costing around 6 Billion due to inefficiencies. Similarly, National Transmission and Dispatch Company (NTDC) is losing power worth Rs 6 Billion annually in transmission. Present level of line losses are almost 20 percent

Efficiency Losses in Electricity Three major thermal companies in Muzaffargarh, Guddu and Jamshoro, with a combined installed capacity of 2800 MW can hardly produce 1700MW and that too at an output efficiency of only 25%.

Circular Debt The government is unable to pay the fuel cost to the generating companies, with the result the plants are shut or running at a very low capacity. The generating companies are thus unable to pay to the oil companies and a high circular debt is created With the approval of the Cabinet, funds amounting to Rs. 142.0 billion have been raised from the banks in March 2012 and paid to Independent Power Producers (IPPs) by PEPCO.

Lack of Energy Conservation Program: Wastage of energy is a serious problem and if this is kept in check, then this problem can be controlled to quite an extent. Currently, the elite class is consuming maximum energy even with prior knowledge and understanding. When we talk about high rate of illiteracy and the masses not paying heed to its proper and careful usage. However, what we see is that the elite class is using it for its luxury. The need of the hour is energy conservation programs

KUNDA SYSTEM: The people are very tactfully doing this and taking on the electricity direct from the power cables which not only brings on a load on the power cables but also reduces the transmission capacity as well as it weakens the capacitors that are installed at power cables to tell the exact load. When the capacitors get weak they tell the load less than the actual which then causes the transformers to collapse.

Provision of Free Electricity The free units are granted to

LESCO officials Senior Bureaucrats and Employees Parliamentarians

But in the case of domestic users they are

required to pay every single unit used and sometimes not used.

Non Utilization of Enormous Indigenous Recourses Thar Coal Wind-Corridors Solar Energy Bio-Gas

Governance/Other Issues
Lack of political will and top level corruption Dishonest and incompetent management Severe theft and inefficiencies (Use of

inefficient devices) Delaying and/or non-implementation of major projects like gas and oil exploration especially large dams Over reliance on oil and misuse of finite gas resources through CNG.

Energy Crisis in Pakistan is one of the severe challenges the country is facing today. Electricity, gas, water , fuel is essential part of our daily life and its outage has severely affected the economy and overall living of ours. Thousands have lost their jobs, businesses; our daily life has become miserable. Pakistan is currently facing up to 18 hours of electricity outage a day, is expected to face more if not dealt with in time. Pakistan has been facing an unprecedented energy crisis since the last few years. The problem becomes more severe during summers. However, this winter was no different. During the peak crisis there was a power outage of 3-4 hours everyday. Those without generators and UPS faced tremendous problems. The prices of both continued to increase due to a sharp increase in their demand.