The power sector in Pakistan is a mix of hydel and thermal units dominated by two vertically integrated public sector utilities that are Water and Power
Development Authority (WAPDA) for all of Pakistan except Karachi, and the
Karachi Electric Supply Corporation (KESC) for the City of Karachi and its surrounding areas. There are a number of independent power producers that contributes significantly in electricity generation in Pakistan.
For years, the matter of balancing Pakistan 's supply against the demand for electricity has remained a largely unresolved matter. Pakistan faces a significant
An Overview of Electricity Sector
challenge in revamping its network responsible for the supply of electricity.
Due to an unrealistic power tariff, high inefficiencies, low payment recovery and the inability of the government to manage its subsidies mechanism that lead to a serious “circular debt” issue which is becoming a barrier for future energy sector investment. The economy is badly affected by electricity crisis with loss of huge capital. The solution to the current crisis lies in energy conservation at all level in the country.
The use of alternate energy such as wind and solar power could be utilized to immediately reduce the shortages, while electricity projects from coal and large dam could provide a long-term solution to the electricity shortage.
However, China, Iran, India and Tajikistan, Germany, Qatar, Kuwait and some other countries have been offering to export electricity to Pakistan to overcome the growing electricity crisis.
ISLAMABAD CHAMBER OF COMMERCE & INDUSTRY
CHAMBER HOUSE: Aiwan-e-Sanat-o-Tijarat Road, Mauve Area, Sector
G-8/1, Islamabad, Tel: + 92-51-2250526-2253145, Fax: +92-512252950, E-mail: firstname.lastname@example.org, Website: www.icci.com.pk
References: Private Sector Power Generation Projects in Pakistan, 2010. Major issues in Pakistan’s Economy BY. A.Hamid Shahid(2005-2008 Edition)Statistical bureau of Pakistan PEPCO • Pakistan Economic Survey, 2010-11