Sukkur IBA (Project in the Subject of "Issues In Pakistan Economy".

1. Energy Sector of Pakistan
Presented by
Shankal Lal
Saeed Hussain
Memoona Naz
Rabail Aisha

2. Agenda
 Introduction to Energy Sector
◦ Sources of Energy
 Thermal Electricity Resources
 Hydel Power
 Nuclear Energy
 Non-conventional Sources of Energy
◦ Development
 Wapda
 Hydro power
 Thermo power
 Nuclear
 Oil and gas

3.  Energy Crises Origin
 Current Situation
◦ Electricity Shortfall
◦ Gas Shortfall
◦ Water Shortfall
◦ Current Events
 Causes and Effects of Energy Crisis
 Projects by government
 Recommendations

4. Energy Sector
 Life line of an economy
 Companies.
◦ Exploration
◦ Development
◦ Drilling
 Performance

5. Sources of Energy
 Thermal Electricity Resources
 Coal
 Oil
 Natural Gas
 Non conventional sources of energy
(renewable)
• Biogas (Animals)
• Solar
• Wind

6.  Nuclear Energy
 Other sources
 Water

8. Development of National Energy
Base on Pakistan
 Wapda
 Hydro power
 Thermo power
 Nuclear
 Oil and gas

9. Energy Crises
 Origin

11. Electricity shortfall
 Current demand nearly 24,000MW
 Production capacity of 19500 MW
 Gap of 4500 MW
 As a result, 10-12 hours of load-
shedding per day across the country.

12. Gas shortfall
 Gas consumption in July-March 2012-13
negative growth
 Demand and supply gap
◦ 1 billion cubic feet per day
 Punjab’s industrial sector
 Sindh’s CNG sector

13. Years Demand Supply Net
differenc
e
2004-2005 3173 Mcf/day 4033 860
2009-2010 4565 Mcf/day 4424 -141
2019-2020 9114 Mcf/day 3001 -6113
2029-2030 19035
Mcf/day
2299 -16736

14. Water Shortfall
 Most important resource
 Fierce competition for fresh water
 Pakistan’s fresh water, under pressure
◦ 30 million acre-feet of water is thrown in to
the sea
◦ electricity generation, irrigation and dinking.

15. Current events
 China project (Geo News)
 March 3, 2014 (Dawn News)

16. Causes
 Circular debt
poor revenue collection
delayed payment by ministry of finance
Lot of receivables
More than Rs 360 billion..
See detail in article

17. Causes continued
 Theft of
Electricity
Loss
Last five years
Billion (pkr)
GEPCO 0.6
LESCO 0.306
MEPCO 2.35
SEPCO 0.280
HESCO 3.6
PEPCO 7.47
KESCO 16.17
FESCO 59

18. Causes continued
 Wastage of electricity
 High cost of fuel
 Monopoly in the business
 Exploring Coal
 Growing energy demand
 Corruption

19. Consequences
 Economic factor
GDP
FDI
 Agriculture Sector
 Industrial sector
 Un employment
 Social issues
frustration

20. Consequences continued
 Poverty
 Education
 Higher price of electricity

21. Alternatives
 The Local Gas Reserves are of Strategic
Important for Pakistan.
 In 2008 34742 GWH Electricity
Produced from Gas.
 On the other Side Pakistan has been
Exploring option for Gas Import.
 In this regard Three Different options
have been brought under Consideration.

22. Three Different options
 Natural gas pipeline from Qatar to
Pakistan through Oman.
 Natural Gas pipeline from Turkmenistan
to Pakistan through Afghanistan TAP.
 Natural Gas pipeline from Iran to
Pakistan(Ipi)

23. Qatar Pakistan Gas Pipe Line
 On 17th july 2007 Govt of pak Joined
MOU,Plan was to Build UnderSea Pipeline
from Qatar(World third largest Proved Gas
Reserve).
 aimed to create a Gas pipeline network.
 connecting the three Gulf Countries) and
would run 1,225 km under the sea to
Pakistan.

24. TAP(Turkumanistan
Afaghanistan Pakistan) Project
 was signed in 2006 for Turkmenistan to
supply 32.7bcm per year of Gas to
Pakistan over 30 years
 TAP Project which would terminate at
Gawader and link to Heart in Afghanistan.
 The greatest obstacle to the pipeline from
Turkmenistan is the unstable geo political
situation in Afghanistan & also Gas Price
Issue.

25. The Iran-Pakistan-India Pipeline
 Proposal was matured in 2005.
 Idea was Originally conceived in 1995 as
IPI.
 After 13 years India decided to Quit
project in 2008 .
 aims to capitalize the gas imported
through these pipelines for the usage of
power generation and heavy industries.

26.  This is a very beneficial development but
the project may not be completed
successfully for a number of reason such
as volatile geo-political situation in the
region.

27. Hydropower Projects
 Hydropower is one of the most important
sources of energy in Pakistan.
 It is the more economical source of
electricity.
 Indigenous and renewable source of
energy
 The future of Hydropower project
depends upon the secure supply of water
from the river that flows in Pakistan.

28. Recommendations
 Continuous updating of equipments
 Proper utilization of Natural resources
 Using energy saving devices
 Awareness campaign for energy sector
 Government should work on IPI, TAPI,
LNG
 Government should promote alternate
sources of energy (solar and wind)

29. CONTINUED
 Government should reduce circular debt