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Pakistan has worked hard to expand its power production capacity of only 119 megawatts
(MW) at the time of partition from India in 194 to almost 11!""" MW annually# $he
demand estimate for the year 1994%& was 1'!("") which lea*es a demand and supply gap
of around '!""" MW annually# +esides! with current demand growth at (, annually!
Pakistan will need to add &"!""" MW to its presented capacity -y '"1(# .urrently the
go*ernment is considering o*er /4 companies for power pro0ects totaling 9!"4& MW for
up to the year '!"""# $he power sector in Pakistan is a mixed industry of hydro! thermal!
and nuclear power plants# 1s of 2ecem-er 1994! the power sector included !&(( MW of
thermal plants! 4!('& MW of hydroelectricity! and 1/ MW from a nuclear power plant
for a total installed capacity of 1'!&&" MW (1ccording to the World +ank)# $he power
system ser*es a-out 1" million consumers! in the following categories3 a-out #9 million
residential! 1#4 million commercial! '"" thousand industrial! and a-out 14" thousand
agricultural consumers# $he go*ernment has created a power sector plagued with
production inefficiencies at e*ery le*el# 5fficials estimate that 61 -illion of production is
lost e*ery year in Pakistan due to load shedding# 5n%line transmission losses are expected
to -e as high as /",! which is a point of *iew the go*ernment7s official production
figures# $his means that as much as /!""" MW of electricity is lost annually due to the
falling down distri-ution system and theft of power# 5ne famous example of such waste
is that the ma0ority of transmission wires in the 8arachi area are made of steel! and not
1
the more conducti*e copper! mainly due to a steel plant7s proximity to the power plant
and relati*ely cheaper purchasing price of steel# $his led to a large num-er of steel
transmission lines# 9owe*er! the steel wires are not only su-standard to international
standard! -ut are responsi-le for the higher losses#
1nother aspect of the Pakistani power production sector is that the ma0ority of plants are
thermal# Pakistan is hea*ily dependent on imported oil for its domestic energy
re:uirements due to the large amount of oil%fired thermal power plants# +ecause of larger
start%up and initial production costs%%as well as immigration and water change
contro*ersies%%oil%fired thermal power production faraway outnum-er hydroelectric
power plants# .urrently! Pakistan depends on oil imports for a-out /" percent of its
domestic energy re:uirements! costing 61#4 -illion in 199/# $he World +ank estimates
that Pakistan has a power production capacity of a-out '!""" MW under a*erage
hydrological conditions# Pakistan7s ma0or oil fields ha*e largely -een -roken (1ccording
to the World +ank)
$he responsi-ility of power pro*ision in Pakistan is shared -etween the Water Power
2e*elopment 1uthority (W1P21) and the 8arachi ;lectric <upply .orporation (8;<.#)
W1P21 is responsi-le for de*eloping Pakistan7s water resources and for construction!
operation! maintenance of power generation! and transmission and distri-ution facilities
throughout the country! except the 8arachi area#W1P21 accounts for o*er 9", of the
total installed hydro and thermal power generation capacity of a-out 1"!""" MW! while
supplying approximately ((, of Pakistan7s electric consumption# 8;<. supplies the
remainder of the power demanded in the 8arachi area and is responsi-le for that area7s
construction! operation! maintenance of power generation! and transmission and
distri-ution facilities#
$he current per annum growth in demand is a-out (#(,! while the supply is -ehind at
around #&,# Pakistan faces a shortage of o*er '""" MW during the dry spell when the
two reser*oirs at Mangla and $ar-ela dams recei*e insufficient water and the canals ha*e
to -e closed for cleaning#
'
1part from the aim of reducing energy losses and impro*ing operational efficiency
within -oth W1P21 and 8;<.! this task force is to introduce 2emand <ide
Management (2<M) measures to control and regulate growth# It is hoped that the 2<M
measures (time of use tariffs! seasonal tariffs! energy efficient appliances etc#) will reduce
potential peak demand -y a-out 1!(""%'!""" MW -y 199(#
2uring 1994! W1P21 commissioned ' hydro%electric units each of 4/' MW at $ar-ela!
one hydel unit of 1"" MW at Mangla! 14& MW com-ined cycle unit at =addu! and one
oil fired unit of '1" MW at Mu>affargarh % raising its capacity from (!1&' to 9!41 MW#
$his graph show that when demand increase and supply remain same! that is the time that
any company can charge more prices then the demand is less# 1nd W1P21 has
monopoly in his electric department of country also# W1P21 increase his price per unit
when demand increase#
Mega Projects of WAPDA including Basha Dam
/
$he hydropower pro0ects in Pakistan not only pro*ide practica-le in*estment
opportunities to in*estment# W1P21 will welcome in*estment in mega pro0ects
including +asha 2am in*ol*ing 61' -illion in*estment to generate 4!&"" megawatts
pro0ects in the country# Which can produce o*er &4!""" megawatts cheap hydropower
electricity? W1P21 has undertaken a-out /&!""" megawatts of hydropower pro0ects in
which a-out 4!&"" megawatts of hydropower pro0ects are currently in 5peration which
include $ar-ela! Mangla! Warsak! =ha>i +arotha and other small power stations# @o
ma0or power pro0ect is completed since the opening of =ha>i +arotha 9ydropower
pro0ect (1!4&" megawatts) in '""4 at the same time as electricity demand is fre:uently on
the rise in the country#
9ydropower pro0ects with accumulati*e generation capacity of '&!""" megawatts!
.omplex upcoming pro0ects! <hakil 2urrani said W1P21 is working on *arious pro0ects!
which include 8ohala! 2asu! +un0i! Munda and =olen =ol hydropower pro0ects on fast
track -asis to meet its growing energy demand# 9ydropower Pro0ect
(949 megawatts) ha*ing in*estment of 6'#14 -illion and 61' -illion +asha 2am#
Textile mills offer to provide electricity to WAPDA
$extile mills ha*e offered to pro*ide up to '""%'&" MW of electricity from their heating
system oil%fired power units to W1P21 on a /"%day notice pro*ided the utility agrees to
pay a price of As1#/1 per unit on top of the cost of fuel#
W1P21 is currently facing a gap of a-out 1!&"" MW in demand and supply of
electricity! which has re:uired it to go for what the utility calls as load management#
If W1P21 agrees to purchase power from the textile industry! it will help it connection
the power shortages -y up to 1 per cent# +esides! it will also help the mills impro*e to
some le*el their in*estments on installation of power generation capacity! which is
dou-le%dealing idle for years after those shifted to gas generation#
Pakistans !overnment allo"s WAPDA to set up Po"er Plants
4
Bederal go*ernment has allowed Water and Power 2e*elopment 1uthority (W1P21) to
set up 4"" MW to 1""" MW coal -ased power plants in $har to o*ercome the gap
-etween power demand and supply# 1t present! the total power generation of Pakistan
stands at around 1"!""" MW plus against the demand of 11!&"" MW per day#
;.. has appro*ed pu-lic%pri*ate partnership concept under which o*er !9' MW
power would -e added to the existing power generation of around 1"!"""MW power -y
the year '""9%1"#
;.. has allowed W1P21 to set up coal -ased power plants -ut @ational ;lectric Power
Aegulatory 1uthority (@;PA1) has failed so far to announce the open tariff for the
in*estors to set up coal -ased power plants in $har#
Pakistan ;lectric Power .ompany (P;P.5) has -een allowed to set up the thermal
power generation plants of '!4&" MW -y '"1" to o*ercome the power shortage crisis#
4&" MW power would -e added -y @andipur power pro0ect and &"" MW electricity
would -e achie*ed from .hichokimalian# Pro0ect of 4"" MW would -e completed -y
Culy '""( and &&" MW pro0ect would -e completed -y 2ecem-er '""(# /"9 MW would
impro*e the capacity of current existing power generation system during 2ecem-er '""(#
Po"er #risis Alarm
9ousehold sector has -een the largest consumer of electricity accounting for 44#' per
cent of total electricity consumption followed -y industries /1#1 per cent! agriculture 14#/
per cent! other go*ernment sector #4 per cent! commercial &#& per cent and street light
"# per cent#
$he difference -etween firm supply and peak demand is estimated at &!&'9 MW -y the
year '""9%1" when firm electricity supply will stand at 1&!"&& MW against peak demand
of '"!&(4 MW#
&
Malakand%lll ((1MW)! Pehur (1(MW) and com-ined cycle power plant at Baisala-ad
(4&"MW) are planned to -e commissioned during the year '""# Mangla 2am raising
pro0ect would also add 1&" MW capacity to the national network -y Cune '""# +esides
this! 8han 8hwar ('MW)! 1llai 8hwar (1'1MW)! 2u-er 8hwar (1/"MW) and 8ayal
8hwar (1/"MW) are expected to -e completed in '""( along with =olan =ol (1"4MW)
and Cinnah (94MW)# Moreo*er! Matiltan ((4MW)! @ew +ong ;scape (9MW) and
Aa0dhani (1/'MW) are expected -y '""9 while $aunsa (1'"MW) is likely to -e
completed -y '"1"#
Detail of $upply
%xpected &ears '(() '((* '((+ '(,(
Malakand (1
Pehur 1(
Baisala-ad 4&"
Mangla 2am 1&"
8han 8hawar '
1llai 8hwar 1'1
2u-er 8hwar 1/"
8ayal 8hwar 1/"
=olan =ol 1"4
Cinnah 94
Matiltan (4
+ong ;scape 9
Aa0dhani 1/'
$aunsa 1'"
1nd 2emand is &!&'9 MW#
4
1s a-o*e ta-le of supply and graph of difference -etween supply and demand tell the gap
-etween supply and demand -ut W1P21 said there is no power shortage in the country
at present as the 1uthority still has o*er 1!""" MW surplus electricity (1ccording to
21W@ news) #

Developing a competitive po"er industry for economic development

+y @1W;;@@ 1# M1@=I
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Pakistan. Po"er crisis feared
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