There are some steps to be taken by the state specifically as well as by the general public
DASKA: Pakistan is facing an electricity crisis. Besides the low generating capacity, the lack of maintenance of public-owned power plants and underinvestment in the energy sector, partly implemented policies together with structural reforms are one of the most acute elements of the energy crisis. Pakistan’s energy production is not sufficient to meet current and future demands.
According to the previous estimates of the government, $10 billion are needed to fill the gap between current supply and demand for electricity. In addition, no less than a $30 billion investment will be required for tackling the future energy needs in the long run. If around 33 per cent of the total population of Pakistan, which does not have access to the national electric grid system, gets access, the current situation will only deteriorate, unfortunately. They have to rely on energy sources and supply being produced by themselves. However, their demand can only increase, causing a greater load.
Energy shortages cost the country around two per cent of the annual GDP and constant decrease in economic growth. The effects of the energy crisis on businesses are augmented by shortages of indigenous gas supply. And, the cost of energy shortfall reflects in low production, decrease in foreign production orders, together with exports. Not only have small and medium enterprises within the cottage industry been affected by the energy shortages but also large manufacturing units, which have their own facility of energy production through thermal power plants.
There are some of the steps to be taken by the state specifically as well as by the general public. We need to eliminate electricity theft. The country should heavily rely on renewable and cheap indigenous energy resources instead of highly pricey and imported oil-based generation of electricity. Distribution losses, which are one of the world’s highest in Pakistan, must be eliminated. Coal-based generation, which accounts for around 70 per cent and 80 per cent in China and India respectively, are not in our country’s energy policies. Generating power through coal must be adopted immediately in Pakistan. Finally, power plants owned by the government and operating below their designed capacities should be utilised to their fullest capacity.
Muhammad Bilal Sarwar
Published in The Express Tribune, September 17th, 2016.
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