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INTRODUCTION
Electricity plays a key role in the national growth and economic development of any country.
Presently, in Pakistan, only about half the population has access to electricity. 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.
However, increasing urbanization and industrialization in the country provide a great
opportunity for expansion of the power sector. Pakistan is a coal-rich country, but,
unfortunately, coal has not been developed for power generation for more than three decades
due to lack of infrastructure, insufficient financing and absence of modern coal mining technical
expertise. The Government has now determined to facilitate private investors to promote
investment in coal development and coal power generation. Unavailability of reliable coal is the
main obstacle to significant progress in coal power generation. The Federal Government and
Provincial Governments, however, are continuously trying to facilitate private investors in
developing and promoting indigenous coal for power generation. The presence of coal deposits
in Pakistan was known before independence, but its economic value was highlighted in 1980
when large reserves of coal were discovered in the Lakhra and Sonda areas of Sindh Province.
Coal is a cheap Indigenous energy resource and, after the discovery of 175.5 billion tonnes of
coal in Thar area of Sindh, Pakistan’s coal power potential has increased manifold. It is
anticipated that, if properly exploited, Pakistan’s coal resources may generate more than
100,000 MW of electricity for the next 30 years.
Coal plays a vital role in electricity generation worldwide. Coal-fired power plants currently fuel
41% of global electricity. In some countries, coal fuels a higher percentage of electricity.
The purpose of this study is to analyze the nature of this crisis and to propose some short-term
as well as long-term solutions to this problem.
1. ENERGY
Powerderivedfromthe utilizationof physical orchemical resources,especiallytoprovidelightandheat
or to workmachines.
1.1 Forms of energy
 Chemical energy - energy stored in fuel (i.e. food) which is released when chemical
reactions take place
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 Kinetic energy - energy of a moving object
 Gravitational potential energy (GPE) - energy an object contains due to its position
 Elastic (strain) potential energy - energy stored in an object that is being stretched,
squashed, twisted, you name it!
 Electrical energy - energy transferred by an electric current
 Thermal (heat) energy - energy of an object due to its temperature. This is partly
because of the random kinetic energy of the particles of the object.
 Nuclear energy - energy stored in an atom’s nucleus
 Light energy - energy transferred through waves and light particles (photons)
 Sound energy
1.2 Sources of energy
Energy is one of the requirements necessary to run day to day activities. There are many
different sources of energy that are naturally available throughout the world in different forms.
Depending with energy regeneration, energy can be categorized into two main different
sources which are renewable and non renewable sources.
Renewable sources of energy
Renewable sources of energy are obtained from different natural sources. The main common
sources are sunlight, wind, tides and geothermal. Statistics has indicated that renewable
sources of energy comprise approximate 16% of total global energy that is consumed on daily
basis. One advantage about this form of energy is that it can be replaced and used continuously
without becoming depleted. Renewable sources of energy are mostly used in three different
areas which include electricity generation, heating by use of solar hot water and motor fuels
through the use of renewable bio-fuels.
Pros of renewable sources of energy
1. Renewable sources of energy are renewable and easily regenerated. This is unlike fossil
fuels which are perishable once used.
2. Renewable source of energy such as solar produce clean energy that does not pollute
the environment. This is because no burning is required during usage of the energy.
3. Most importantly, renewable energy are available everywhere throughout the world
thus there is no chance of the sources becoming depleted in future. For example, solar
energy is everywhere as the sun will always be there every day.
4. Maintenance cost needed to install and use the renewable energy is relatively cheap.
Solar energy can be trapped easily and used for domestic needs.
5. Renewable sources of energy boost economic growth and increase job opportunities.
This includes electrical energy which is used to run many industries.
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Non-renewable sources of energy
Non-renewable sources of energy have continued to produce constant energy throughout the
world. This is because of their high availability. Sources of non-renewable energy can be
attributed to natural sources that are not regenerated once the source is depleted. Sources
include fossils fuels such as coal and petroleum products e.g. natural gas and diesels.
Pros of non-renewable sources of energy
Some such as natural gas burns without any soot hence less environmental pollution.
1. Most non-renewable sources of energy are easy to transport from one area to another.
For example petroleum oils which can be transported via pipes.
2. Cost of producing non-renewable energy is low since they are naturally available.
Furthermore they are cheap to transform from one form of energy to another.
3. Most of this energy sources are abundantly available in different areas. Their availability
is not affected by climatic condition.
1.3 Energy resources
These are modes of energy production, energy storage, or energy conservation listed below.
 Atomic energy
 Biodiesel
 Biofuel
 Biogas
 Coal mining
 Concentrated solar
power
 Diesel
 Electrical grid
 Energy tower
 Gas turbine
 Geothermal power
 Hydroelectricity
 Hydrogen economy
 Hydropower
 Methanol
 Natural gas
 Nuclear energy
 Oil well
 Peat
 Petroleum
 Renewable energy
 Solar energy
 Steam turbine
 Thermal power
station
 Water turbine
 Wind energy
2. GLOBAL ENERGY CRISIS
Abundant and economical energy is the life blood of modern civilizations. Coal, nuclear and
hydro are used primarily to make electricity. Natural gas is widely used for heating. Oil powered
machines are ubiquitous. Clearly, we live in the age of oil, but the age of oil is drawing to a
close. 80% of our energy usage comes from fossil fuels, around a third of it from oil. But
reliance on fossil fuel based energy is simply no longer practical nor desirable. There are issues
such as air pollution (which kills tens of thousands per year in the UK alone), the environmental
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problems associated with fossil fuel extraction, not to mention its corrosive effects on society
and politics (the so called “oil curse”). But probably two of the principle problems we will face
over the next half a century are Peak oil and the need to avert dangerous climate change.
 2000s energy crisis - Since 2003, a rise in prices caused by continued global increases in
petroleum demand coupled with production stagnation, the falling value of the U.S.
dollar, and a myriad of other secondary causes.
 2008 Central Asia energy crisis, caused by abnormally cold temperatures and low water
levels in an area dependent on hydroelectric power. At the same time the South African
President was appeasing fears of a prolonged electricity crisis in South Africa."Mbeki in
pledge on energy crisis". Financial Times. Retrieved 2008-02-10.
 In February 2008 the President of Pakistan announced plans to tackle energy shortages
that were reaching crisis stage, despite having significant hydrocarbon reserves. In April
2010, the Pakistani government announced the Pakistan national energy policy, which
extended the official weekend and banned neon lights in response to a growing
electricity shortage.
 South African electrical crisis. The South African crisis led to large price rises for
platinum in February 2008 and reduced gold production.
 China experienced severe energy shortages towards the end of 2005 and again in early
2008. During the latter crisis they suffered severe damage to power networks along with
diesel and coal shortages. Supplies of electricity in Guangdong province, the
manufacturing hub of China, are predicted to fall short by an estimated 10 GW. In 2011
China was forecast to have a second quarter electrical power deficit of 44.85 - 49.85
GW.
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2.1 ENERGY CRISIS IN PAKISTAN
Several mandates and proposals have been called over the years to overlook the energy
conservation, such as Neon signs were banned and the official weekend was extended from
one to two days in an attempt to conserve electricity (Gillani, 2010)[2] and reducing the
electricity load used by industrial units by 25% during peak hours (Aziz, 2007),[3] but no
comprehensive long-term energy strategies were implemented. Since 1999, many legislative
provisions were adopted for energy conservation including the seeking energy from various
renewable energy sources. There is also an intense criticismabout the unequal distribution of
energy, the irresponsible usage of energy sources, and the country's new plan which is aimed to
raise country's dependence on imported oil for power generation to 50% by 2030
2.1.1 Timeline of PakistanEnergy Crisis
2011
The year started with the shut down of Uch power plant producing 585MW of electricity, as
one of the pipelines providing fuel was blown up in the district of Jaffarabad. Pakistan faced
one of its most crucial gas crises, with the shortfall rising up to 1.8 billion cubic feet (bcf). The
year also experienced the worst CNG load shedding resulting in losses and problems for the
consumers. However OGRA increased the gas tariff by 14 per cent in the beginning of the year
which was one of the biggest tariff hikes in the history of Pakistan. Moreover, the energy
shortfall reached up to 2,700 MW.
2010
Sheikhan gas field, which is located in Kohat, Kyber Pakhtunkhwa, was discovered. Moreover,
the torrential rainfall in the year resulted in floods which caused much damage to the existing
infrastructure transmitting/transferring energy and fuel. Towards the end of the year,
country’s first rental power plant (RPP), with the capacity of 232 MW was inaugurated in
Karachi.
2009
NASHPA oil fields were discovered in Karak district of Kyber Pakhtunkhwa. In the same year,
Karachi faced one of its most crucial power breakdowns on June 17 in which the entire city was
without power for 21 hours and more.Moreover, the country faced a power shortfall of 4,500
MW in the same year with the domestic demand rising up to 11,000 MW. However only 6,500
MW of generated power was catering to the entire demand.
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2008
The demand and supply gap pertaining to electricity in Pakistan increased by 15 per cent.The
major load shedding crisis also commenced in the same year with power outages extending up
to 16 hours a day in many cities of the country.
2007
Pakistan faced one of its biggest power failures after Bhutto’s assassination in which
production fell by 6,000 MW.
2006
Mela oil fields were discovered in the area of Kohat located in the province of Khyber
Pakhtunkhwa.
2005
International Sovereign Energy, a Canadian company, signed an MoU with Oil and Gas
Development Company Limited. The memorandum entailed further development of Toot Oil
Fields. Pakistan was hit by one of its most devastating earthquakes which resulted in a vast
damage to the infrastructural capital responsible for transmitting/transferring fuel. In the
December of 2005, Karachi electric Supply Company, one of the largest vertically integrated
power supply company in Pakistan was privatised.
2000
Balochistan Liberation Army allegedly bombed one of the minor pipelines transmitting gas from
Sui gas fields.
3. CONSUMPTION OF ENERGY RESOURCES
. The bargraph shows oil, coal and natural gas together supplying 85 percent of the world's
energy supply in 2008.
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* The United States consumes 25 percent of the world's oil and 70 percent of that is imported.
* 61 percent of the world's oil reserves are in the Middle East. The United States has 2.4
percent.
* 66.3 percent of the world's gas reserves are in the Middle East and the Russian Federation.
The United States has 3.4 percent.
3.1 Energy consumption in Pakistan
The electricity is used up by domestic
consumers. The pie chart shows energy
consumption in Pakistan in the year 2010-
2011. Next in line come the industries, and
then comes the Agric Sector followed by the
Commercial Sector. The statistic that most
of the electricity consumption is that of
home users is important as it shows how
much non-payment of bills hampers the
system. Areas like Karachi and Peshawar
where the bill collections are low in
various residential areas have a direct impact on increasing the size of the circular debt.
This essentially means that unless collections are improved in areas that currently have low
collections; the issue of circular debt shall go on as it is the collection money that eventually
gets paid back to the National Grid, who then pay it back to the Power Generation Company
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According to the Oil and Gas Journal (OGJ), Pakistan had 28.8 million barrels of proven
conventional oil reserves as of January 1, 2005. Pakistan produced 60,000 barrels per day
(bbl/d) of crude oil during 2004 and is currently producing around 64,000 bbl/d. Pakistan has
ambitious plans to increase its current output to 100,000 bbl/d by 2010. Consumption of
petroleum products during 2005 is estimated at 351.4 thousand bbl/d. While there is no
prospect for Pakistan to reach self sufficiency in oil, the government has encouraged private
(including foreign) firms to develop domestic production capacity.
Currently, natural gas supplies 49 percent of Pakistan. s energy needs. (see graph below)
According to the Oil and Gas Journal (OGJ), as of January 1, 2005, Pakistan had 26.83 trillion
cubic feet (Tcf) of proven natural gas reserves. In 2003, the country produced around 0.84 Tcf.
Consumption of natural gas during 2003 was at 0.84 Tcf, but consumption levels are expected
to grow over the next few years. Pakistan is looking to increase its gas production to support
increasing consumption. Currently, Pakistan ranks third in the world for use of natural gas as a
motor fuel, behind Brazil and Argentina. In addition, Pakistan hopes to make gas the . fuel of
choice. for future electric power generation projects.
Coal currently plays a minor role in Pakistan. s energy mix. However, Pakistan contains an
estimated 3,362 million short tons (Mmst), sixth-largest in the world. Recently, the discovery of
low-ash, low-sulfur lignite coal reserves in the Tharparkar (Thar) Desert in Sindh province,
estimated at 1,929 Mmst, has increased both domestic and foreign development interest.
China, which began developing various electric power plants in tandem with the coal mines in
1994 in Pakistan, has shown the most interest.
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Pakistan has 18 gigawatts (GW) of electric generating capacity .Thermal plants using oil, natural
gas, and coal account for about 70 percent of this capacity, with hydroelectricity (hydro) making
up 28 percent and nuclear 2.5 percent. Pakistan's total power generating capacity has increased
rapidly in recent years, due largely to foreign investment, ultimately leading to a partial
alleviation of the power shortages Pakistan often faces in peak seasons.
3.1.1 Consumption by Provinces
4. COAL: an energy resource
Coal is the largest source of energy for the generation of electricity worldwide. Coal is primarily
used as a solid fuel to produce electricity and heat through combustion. World coal
consumption was about 7.25 billion tons in 2010 (7.99 billion short tons) and is expected to
increase 48% to 9.05 billion tons (9.98 billion short tons) by 2030.China produced 3.47 billion
tons (3.83 billion short tons) in 2011. India produced about 578 million tons (637.1 million short
tons) in 2011. 68.7% of China's electricity comes from coal. The USA consumed about 13% of
PROVINCE CONSUMPTION (IN%)
Punjab 56%
Sind 31%
NWFP 10%
Baluchistan 3%
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the world total in 2010, i.e. 951 million tons (1.05 billion short tons), using 93% of it for
generation of electricity. 46% of total power generated in the USA was done using coal.
When coal is used for electricity generation, it is usually pulverized and then combusted
(burned) in a furnace with a boiler. The furnace heat converts boiler water to steam, which is
then used to spin turbines which turn generators and create electricity. The thermodynamic
efficiency of this process has been improved over time. Simple cycle steamturbines have
topped out with some of the most advanced reaching about 35% thermodynamic efficiency for
the entire process. Increasing the combustion temperature can boost this efficiency even
further. Old coal power plants, especially "grandfathered" plants, are significantly less efficient
and produce higher levels of waste heat. At least 40% of the world's electricity comes from
coal.
4.1 COALIFICATION
At various times in the geologic past, the
Earth had dense forests in low-lying
wetland areas. Due to natural processes
such as flooding, these forests were buried
under the soil. As more and more soil
deposited over them, they were
compressed. The temperature also rose as
they sank deeper and deeper. As the
process continued the plant matter was
protected from biodegradation and
oxidation, usually by mud or acidic water.
This trapped the carbon in immense peat
bogs that were eventually covered and
deeply buried by sediments. Under high
pressure and high temperature, dead
vegetation was slowly converted to coal.
As coal contains mainly carbon, the conversion of dead vegetation into coal is called
coalification. The wide, shallow seas of the Carboniferous Period provided ideal conditions for
coal formation, although coal is known from most geological periods. The exception is the coal
gap in the Permian–Triassic extinction event, where coal is rare. Coal is known from
Precambrian strata, which predate land plants — this coal is presumed to have originated from
residues of algae.
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4.2 Types of COAL
As geological processes apply pressure to dead biotic material over time, under suitable
conditions it is transformed successively into:
Peat, considered to be a precursor of coal, has industrial importance as a fuel in some regions,
for example, Ireland and Finland. In its dehydrated form, peat is a highly effective absorbent for
fuel and oil spills on land and water. It is also used as a conditioner for soil to make it more able
to retain and slowly release water.
Lignite, or brown coal, is t he lowest rank of coal and used almost exclusively as fuel for electric
power generation. Jet, a compact form of lignite, is sometimes polished and has been used as
an ornamental stone since the Upper Palaeolithic.
Sub-bituminous coal, whose properties range from those of lignite to those of bituminous coal,
is used primarily as fuel for steam-electric power generation and is an important source of light
aromatic hydrocarbons for the chemical synthesis industry.
Bituminous coal is a dense sedimentary rock, usually black, but sometimes dark brown, often
with well-defined bands of bright and dull material; it is used primarily as fuel in steam-electric
power generation, with substantial quantities used for h eat and power applications in
manufacturing and to make coke.
Steam coal is a grade between bituminous coal and anthracite, once widely used as a fuel for
steam locomotives. In this specialized use, it is sometimes known as "sea-coal" in the US.[15]
Small steamcoal (dry small steam nuts or DSSN) was used as a fuel for domestic water heating.
Anthracite, the highest rank of coal, is a harder, glossy black coal used primarily for residential
and commercial space heating. It may be divided further into metamorphically altered
bituminous coal and "petrified oil", as from the deposits in Pennsylvania.
Graphite, technically the highest rank, is difficult to ignite and is not commonly used as fuel —
it is mostly used in pencils and, when powdered, as a lubricant.
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5. COAL MINING
Due to its abundance, coal has been mined in various parts of the world throughout history and
coal mining continues to be an important economic activity today. Compared to wood fuels,
coal yields that have higher amount of energy per mass and can often be obtained in areas
where wood is not readily available. Though historically used as a domestic fuel, coal is now
mostly used in industry, especially in smelting and alloy production as well as electricity
generation.
5.1 History of Coal Mining
Early coal extraction was small-scale, the coal lying either on the surface, or very close to it.
Typical methods for extraction included drift mining and bell pits. As well as drift mines, small
scale shaft mining was used. This took the form of a bell pit, the extraction working outward
from a central shaft, or a technique called room and pillar in which 'rooms' of coal were
extracted with pillars left to support the roofs. Both of these techniques however left
considerable amount of usable coal behind.
Archeological evidence in China indicates surface mining of coal and household usage after
approximately 3490 BC.
The earliest reference to the use of coal in metalworking is found in the geological treatise On
stones (Lap. 16) by the Greek scientist Theophrastus (c. 371–287 BC):
Among the materials that are dug because they are useful, those known as coals are made of
earth, and, once set on fire, they burn like charcoal. They are found in Liguria... and in Elis as
one approaches Olympia by the mountain road; and they are used by those who work in
metals.
The earliest known use of coal in the Americas was by the Aztecs who used coal for fuel
and jet (a type of lignite) for ornaments.
In Roman Britain, the Romans were exploiting all major coalfields (save those
of North and South Staffordshire) by the late 2nd century AD. While much of its use remained
local, a lively trade developed along the North Sea coast supplying coal
to Yorkshire and London. This also extended to the continental Rhineland, where bituminous
coal was already used for the smelting of iron ore.[7] It was used in hypocausts to heat public
baths, the baths in military forts, and the villas of wealthy individuals. Excavation has revealed
coal stores at many forts along Hadrian's Wall as well as the remains of a smelting industry at
forts such as Longoviciumnearby.
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After the Romans left Britain, in AD 410, there are no records of coal being used in the country
until the end of the 12th century. Shortly after the signing of theMagna Carta, in 1215, coal
began to be traded in areas of Scotland and the north-east England, where
the carboniferous strata were exposed on the sea shore, and thus became known as "sea coal".
This commodity, however, was not suitable for use in the type of domestic hearths then in use,
and was mainly used by artisans for lime burning, metal working and smelting. As early as 1228,
sea coal from the north-east was being taken to London. During the 13th century, the trading of
coal increased across Britain and by the end of the century most of the coalfields in England,
Scotland and Wales were being worked on a small scale. As the use of coal amongst the artisans
became more widespread, it became clear that coal smoke was detrimental to health and the
increasing pollution in London led to much unrest and agitation. As a result of this, a Royal
proclamation was issued in 1306 prohibiting artificers of London from using sea coal in their
furnaces and commanding them to return to the traditional fuels of wood and charcoal. During
the first half of the 14th century coal began to be used for domestic heating in coal producing
areas of Britain, as improvements were made in the design of domestic hearths. Edward III was
the first king to take an interest in the coal trade of the north east, issuing a number of writs to
regulate the trade and allowing the export of coal to Calais. The demand for coal steadily
increased in Britain during the 15th century, but it was still mainly being used in the mining
districts, in coastal towns or being exported to continental Europe. However, by the middle of
the 16th century supplies of wood were beginning to fail in Britain and the use of coal as a
domestic fuel rapidly expanded.
In 1575, Sir George Bruce of Carnock of Culross, Scotland, opened the first coal mine to extract
coal from a "moat pit" under the sea on the Firth of Forth. He constructed an artificial loading
island into which he sank a 40 ft shaft that connected to another two shafts for drainage and
improved ventilation. The technology was far in advance of any coal mining method in the late
medieval period and was considered one of the industrial wonders of the age.
During the 17th century a number of advances in mining techniques were made, such the use
of test boring to find suitable deposits and chain pumps, driven by water wheels, to drain the
collieries.
Coal deposits were discovered by colonists in Eastern North America in the 18th century.
5.2 Methods of Coal Mining
The most economical method of coal extraction from coal seams depends on the depth and
quality of the seams, and the geology and environmental factors. Coal mining processes are
differentiated by whether they operate on the surface or underground. Many coals extracted
from both surface and underground mines require washing in a coal preparation plant.
Technical and economic feasibility are evaluated based on the following: regional geologic
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conditions; overburden characteristics; coal seamcontinuity, thickness, structure, quality, and
depth; strength of materials above and below the seam for roof and floor conditions;
topography (especially altitude and slope); climate; land ownership as it affects the availability
of land for mining and access; surface drainage patterns; ground water conditions; availability
of labor and materials; coal purchaser requirements in terms of tonnage, quality, and
destination; and capital investment requirements.[5]
Surface mining and deep underground mining are the two basic methods of mining. The choice
of mining method depends primarily on depth of burial, density of the overburden and
thickness of the coal seam. Seams relatively close to the surface, at depths less than
approximately 180 ft (50 m), are usually surface mined.
Coal that occurs at depths of 180 to 300 ft (50 to 100 m) are usually deep mined, but in some
cases surface mining techniques can be used. For example, some western U.S. coal that occur
at depths in excess of 200 ft (60 m) are mined by the open pit methods, due to thickness of the
seam60–90 feet (20–30 m). Coals occurring below 300 ft (100 m) are usually deep
mined. However, there are open pit mining operations working on coal seams up to 1000–1500
feet (300–450 m) below ground level, for instance Tagebau Hambach in Germany.
5.2.1. Modernsurface mining
Trucks loaded with coal at the Cerrejón coal mine in Colombia
When coal seams are near the surface, it may be economical to extract the coal using open
cut (also referred to as open cast, open pit, or strip) mining methods. Open cast coal mining
recovers a greater proportion of the coal deposit than underground methods, as more of the
coal seams in the strata may be exploited. Large Open Cast mines can cover an area of many
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square kilometers and use very large pieces of equipment. This equipment can include the
following: Draglines which operate by removing the overburden, power shovels, large trucks in
which transport overburden and coal, bucket wheel excavators, and conveyors. In this mining
method, explosives are first used in order to break through the surface, or overburden, of the
mining area. The overburden is then removed by draglines or by shovel and truck. Once the
coal seamis exposed, it is drilled, fractured and thoroughly mined in strips. The coal is then
loaded on to large trucks or conveyors for transport to either the coal preparation plant or
directly to where it will be used.
Most open cast mines in the United States extract bituminous coal. In Canada (BC), Australia
and South Africaopen cast mining is used for both thermal and metallurgical coals. In New
South Wales open casting for steamcoal and anthracite is practised. Surface mining accounts
for around 80 percent of production in Australia, while in the US it is used for about 67 percent
of production. Globally, about 40 percent of coal production involves surface mining.
Stripmining
Strip mining exposes the coal by removing the overburden (the earth above the coal seam(s)) in
long cuts or strips. The soil from the first strip is deposited in an area outside the planned
mining area. Soil from subsequent cuts is deposited as fill in the previous cut after coal has
been removed. Usually, the process is to drillthe strip of overburden next to the previously
mined strip.
The drill holes are filled with explosives and blasted. The overburden is then removed using
large earthmoving equipment such as draglines, shovel and trucks,excavator and trucks,
or bucket-wheels and conveyors. This overburden is put into the previously mined (and now
empty) strip. When all the overburden is removed, the underlying coal seamwill be exposed (a
'block' of coal). This block of coal may be drilled and blasted (if hard) or otherwise loaded onto
trucks or conveyors for transport to the coal preparation (or wash) plant. Once this strip is
empty of coal, the process is repeated with a new strip being created next to it. This method is
most suitable for areas with flat terrain.
Equipment to be used depends on geological conditions. For example, to remove overburden
that is loose or unconsolidated, a bucket wheel excavator might be the most productive. The
life of some area mines may be more than 50 years.[9]
Contour mining
The contour mining method consists of removing overburden from the seamin a pattern
following the contours along a ridge or around a hillside. This method is most commonly used
in areas with rolling to steep terrain. It was once common to deposit the spoil on the
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downslope side of the bench thus created, but this method of spoil disposal consumed much
additional land and created severe landslide and erosion problems. To alleviate these problems,
a variety of methods were devised to use freshly cut overburden to refill mined-out areas.
These haul-back or lateral movement methods generally consist of an initial cut with the spoil
deposited downslope or at some other site and spoil from the second cut refilling the first. A
ridge of undisturbed natural material 15 to 20 ft (5–6 m) wide is often intentionally left at the
outer edge of the mined area. This barrier adds stability to the reclaimed slope by preventing
spoil from slumping or sliding downhill
The limitations on contour strip mining are both economic and technical. When the operation
reaches a predetermined stripping ratio (tons of overburden/tons of coal), it is not profitable to
continue. Depending on the equipment available, it may not be technically feasible to exceed a
certain height of highwall. At this point, it is possible to produce more coal with the augering
method in which spiral drills bore tunnels into a highwall laterally from the bench to extract
coal without removing the overburden.
Mountaintopremoval mining
Mountaintop coal mining is a surface mining practice involving removal of mountaintops to
expose coal seams, and disposing of associated mining overburden in adjacent "valley fills."
Valley fills occur in steep terrain where there are limited disposal alternatives.
Mountaintop removal combines area and contour strip mining methods. In areas with rolling or
steep terrain with a coal seam occurring near the top of a ridge or hill, the entire top is
removed in a series of parallel cuts. Overburden is deposited in nearby valleys and hollows. This
method usually leaves ridge and hill tops as flattened plateaus. The process is highly
controversial for the drastic changes in topography, the practice of creating head-of-hollow-fills,
or filling in valleys with mining debris, and for covering streams and disrupting ecosystems.
Spoil is placed at the head of a narrow, steep-sided valley or hollow. In preparation for filling
this area, vegetation and soil are removed and a rock drain constructed down the middle of the
area to be filled, where a natural drainage course previously existed. When the fill is completed,
this underdrain will form a continuous water runoff system from the upper end of the valley to
the lower end of the fill. Typical head-of-hollow fills are graded and terraced to create
permanently stable slopes.
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5.2.2. UndergroundMining
Coal wash plant in Clay County, Kentucky
Most coal seams are too deep underground for opencast mining and require underground
mining, a method that currently accounts for about 60 percent of world coal production. In
deep mining, the room and pillar or board and pillar method progresses along the seam, while
pillars and timber are left standing to support the mine roof. Once room and pillar mines have
been developed to a stopping point (limited by geology, ventilation, or economics), a
supplementary version of room and pillar mining, termed second mining or retreat mining, is
commonly started. Miners remove the coal in the pillars, thereby recovering as much coal from
the coal seamas possible. A work area involved in pillar extraction is called a pillar section.
Modern pillar sections use remote-controlled equipment, including large hydraulic mobile roof-
supports, which can prevent cave-ins until the miners and their equipment have left a work
area. The mobile roof supports are similar to a large dining-room table, but with hydraulic jacks
for legs. After the large pillars of coal have been mined away, the mobile roof support's legs
shorten and it is withdrawn to a safe area. The mine roof typically collapses once the mobile
roof supports leave an area.
There are six principal methods of underground mining:
Longwall mining
Accounts for about 50 percent of underground production. The longwall shearer has a face of
1,000 feet (300 m) or more. It is a sophisticated machine with a rotating drum that moves
mechanically back and forth across a wide coal seam. The loosened coal falls on to a pan line
that takes the coal to the conveyor belt for removal from the work area. Longwall systems have
18
their own hydraulic roof supports which advance with the machine as mining progresses. As
the longwall mining equipment moves forward, overlying rock that is no longer supported by
coal is allowed to fall behind the operation in a controlled manner. The supports make possible
high levels of production and safety. Sensors detect how much coal remains in the seamwhile
robotic controls enhance efficiency. Longwall systems allow a 60-to-100 percent coal recovery
rate when surrounding geology allows their use. Once the coal is removed, usually 75 percent
of the section, the roof is allowed to collapse in a safe manner.
Remote Joy HM21 Continuous Miner used underground
Continuous mining
Utilizes a Continuous Miner Machine with a large rotating steel drum equipped with tungsten
carbide teeth that scrape coal from the seam. Operating in a “room and pillar” (also known as
“board and pillar”) system—where the mine is divided into a series of 20-to-30 foot (5–10 m)
“rooms” or work areas cut into the coalbed—it can mine as much as five tons of coal a minute,
more than a non-mechanised mine of the 1920s would produce in an entire day. Continuous
miners account for about 45 percent of underground coal production. Conveyors transport the
removed coal from the seam. Remote-controlled continuous miners are used to work in a
variety of difficult seams and conditions, and robotic versions controlled by computers are
becoming increasingly common. Continuous mining is a misnomer, as room and pillar coal
mining is very cyclical. In the US, one can generally cut 20 ft or 6 meters (or a bit more
with MSHApermission) (12 meters or roughly 40 ft in South Africa before the Continuous Miner
goes out and the roof is supported by the Roof Bolter), after which, the face has to be serviced,
before it can be advanced again. During servicing, the "continuous" miner moves to another
face. Some continuous miners can bolt and dust the face (two major components of servicing)
while cutting coal, while a trained crew may be able to advance ventilation, to truly earn the
"continuous" label. However, very few mines are able to achieve it. Most continuous mining
19
machines in use in the US lack the ability to bolt and dust. This may partly be because
incorporation of bolting makes the machines wider, and therefore, less maneuverable.
Room and pillar mining
Consists of coal deposits that are mined by cutting a network of rooms into the coal seam.
Pillars of coal are left behind in order to keep up the roof. The pillars can make up to forty
percent of the total coal in the seam, however where there was space to leave head and floor
coal there is evidence from recent open cast excavations that 18th century operators used a
variety of room and pillar techniques to remove 92 percent of the in situ coal. However, this
can be extracted at a later stage (see retreat mining).
Blast mining
Or conventional mining, is an older practice that uses explosives such as dynamite to break up
the coal seam, after which the coal is gathered and loaded on to shuttle cars or conveyors for
removal to a central loading area. This process consists of a series of operations that begins
with “cutting” the coalbed so it will break easily when blasted with explosives. This type of
mining accounts for less than 5 percent of total underground production in the US today.
Shortwall mining
A method currently accounting for less than 1 percent of deep coal production, involves the use
of a continuous mining machine with movable roof supports, similar to longwall. The
continuous miner shears coal panels 150 to 200 feet (40 to 60 m) wide and more than a half-
mile (1 km) long, having regard to factors such as geological strata.
Retreat mining
Itis a method in which the pillars or coal ribs used to hold up the mine roof are extracted;
allowing the mine roof to collapse as the mining works back towards the entrance. This is one
of the most dangerous forms of mining, owing to imperfect predictability of when the ceiling
will collapse and possibly crush or trap workers in the mine.
5.3 WHERE DOES THE COAL GO AFTER IT IS MINED?
Steam coal, also known as thermal coal, is used in power stations to generate electricity.
Coal is first milled to a fine powder, which increases the surface area and allows it to burn
more quickly. In these pulverised coal combustion (PCC) systems, the powdered coal is
blown into the combustion chamber of a boiler where it is burnt at high temperature (see
20
diagram below). The hot gases and heat energy produced converts water – in tubes lining
the boiler – into steam.
The high pressure steam is passed into a turbine containing thousands of propeller-like blades.
The steampushes these blades causing the turbine shaft to rotate at high speed. A generator is
mounted at one end of the turbine shaft and consists of carefully wound wire coils. Electricity is
generated when these are rapidly rotated in a strong magnetic field. After passing through the
turbine, the steamis condensed and returned to the boiler to be heated once again.
The electricity generated is transformed into the higher voltages (up to 400,000 volts) used for
economic, efficient transmission via power line grids. When it nears the point of consumption,
such as our homes, the electricity is transformed down to the safer 100-250 voltage systems
used in the domestic market.
Efficiency Improvements
Improvements continue to be made in conventional PCC power station design and new
combustion technologies are being developed. These allow more electricity to be produced
from less coal - known as improving the thermal efficiency of the power station. Efficiency gains
in electricity generation from coal-fired power stations will play a crucial part in reducing CO2
emissions at a global level.
21
Efficiency improvements include the most cost-effective and shortest lead time actions for
reducing emissions from coal-fired power generation. This is particularly the case in developing
countries where existing power plant efficiencies are generally lower and coal use in electricity
generation is increasing. Not only do higher efficiency coal-fired power plants emit less carbon
dioxide per megawatt (MW), they are also more suited to retrofitting with CO2 capture
systems.
Improving the efficiency of pulverised coal-fired power plants has been the focus of
considerable efforts by the coal industry. There is huge scope for achieving significant efficiency
improvements as the existing fleet of power plants are replaced over the next 10-20 years with
new, higher efficiency supercritical and ultra-supercritical plants and through the wider use of
Integrated Gasification Combined Cycle (IGCC) systems for power generation.
A one percentage point improvement in the efficiency of a conventional pulverised coal
combustion plant results in a 2-3% reduction in CO2 emissions
6. COAL Resources of Pakistan
The presence of coal deposits in Pakistan was known before independence, but its economic
value was highlighted in 1980 when large reserves of coal were discovered in the Lakhra and
Sonda areas of Sindh Province. The discovery of another huge coal deposit of 175.5 billion
tonnes in an area of 10,000 sq. km in Tharparkar District of Sindh has provided a quantum
increase in the coal resources of Pakistan. After this discovery, Pakistan is now the 6th richest
nation of the world in respect of coal resources. Pakistan did not appear even on the list of coal-
rich countries before the discovery of Thar Coal. Coal resources available to Pakistan exist in all
four provinces and in AJK.
22
The total coal reserves are estimated at 185.5 billion tonnes, details whereof are in Table 1.
23
Pakistan Coal Resources
PROVINCE COAL RESOURCES HEATING VALUE
Coal Field Million Tones’ Btu/lb
SINDH
Thar 175,506 6,244 –11,045
Lakhra 1,328 5,503 –9,158
Sonda-Jherruck 5,523 5,219 –13,555
Meting- Jhimpir 473 5,219 –8,612
Indus East 1,777 7,782 –8,660
Badin 16 11,415 –11,521
Sub-Total 184,623
Balochistan
Sor Range/Degari 50 11,245 –13,900
Khost/Sharigh/Harnai/Ziarat 88 9,637 –15,499
Mach 23 11,110 –12,937
Duki 56 10,131 –14,357
Sub-Total 217
Punjab
Salt Range 213 9,472 –15,801
Makarwal 22 10,688 –14,029
Sub-Total 235
NWFP
Hangu 82 10,500 –14,149
Cherat 9 9,386 –14,217
Sub-Total 91
24
AzadKashmir
Kotli 9 7,336 –12,338
Grand Total 185,175
6.1 Sindh Coal Resources
The Province of Sindh is located in the south of Pakistan. Coal was discovered in Sindh in 1853
when Baloch nomads reportedly struck a coal seam2.43 meters thick at a depth of 125 meters
by sinking a well for water at Lakhra, a village on the western bank of the River Indus in district
Dadu. Burmah Oil Company in 1948, and Pak Hunt International in 1953, recorded the presence
of coal at Lakhra in holes drilled in search of oil. The Habibullah Mines Ltd. started commercial
mining of coal in Lakhra in 1959. Sonda coal was discovered in 1980 and Thar coal in 1992 by
GSP. The total coal resources of Sindh have been estimated to 184.6 billion tonnes whereas the
coal deposits of Thar alone are estimated at 175.5 billion tonnes, which can ideally be utilized
for power generation. In addition to Thar, the other coalfields of Sindh are at Lakhra, Sonda,
Jherruck and Indus East (Map 2). The Lakhra coalfield is fully developed, and contains mineable
coal reserves of 146 million tonnes. Sindh coal is classified as ‘Lignite’ with calorific value
ranging from 5,219 to 13,555 Btu/lb. Thar coal has low sulfur and low ash content but high
moisture, whereas Lakhra coal contains high sulfur. The feasibility study conducted by John T.
Boyd & Co. of USA has confirmed mineability and suitability of Lakhra coal for power
generation. The feasibility study of Thar coal is yet to be completed to confirm its mineability
and suitability for large scale power generation. The Sonda coalfield, including Indus East, is the
second largest coalfield of Sindh. The feasibility study of Sonda coal for power generation is yet
to be initiated.
Thar Coal
The Thar coalfield is located in the south-eastern part of Sindh. The first indication of the
presence of coal beneath the sands of the Thar Desert was reported while drilling water wells
by the British Overseas Development Agency (ODA) in coordination with the Sindh Arid Zone
Development Authority (SAZDA), in 1991. The Thar coalfield, with a resource potential of 175.5
million tones of coal, covers an area of 9000 sq. km. in the Tharparkar Desert. The mineable
coal reserves are estimated to be 1,620 million tonnes. The coal-bearing area is covered by
stable sand dunes. In order to establish the coal resources in the selected four blocks (Map 3), a
total of 167 holes were drilled at one kilometer spacing. Coal resources of the four blocks are
estimated at 9,629 million tonnes, as shown below.
25
The number of coal seams varies fromhole to hole, an
26
The number of coal seams varies from hole to hole, and a maximum of 20 seams have been
logged in some of the drill holes. The thickness of coal seams varies from 0.2 to 22.8 meters,
whereas the cumulative coal thickness in one of the drill holes is 36 meters. Clay-stone and
loose sand beds form the roof as well as the floor rock of coal seams. The thickness of
overburden varies from 112 to 203 meters. Thar coal reserves and chemical analysis of coal
samples are at table 2
27
Thar Coal Project will usher in a new era of energy security for the country and prosperity for the
people of Pakistan. It is heartening to know that this project is being carried out as Public-Private
Partnership project betweengovernment of Sindh and Engro Corporation. Thar Coal development
as a flagship project and considers it as a means to energy security for the country. The government
of Pakistan appreciates the efforts of government of Sindh and its partners in making Thar mining
and power project a success and assures federal government's support in resolving the issues like
early provision of transmission line and ancillary matters.
Pakistan's coal resource potential is estimated to be around 186 billiontonnes out of which 175
billiontonnes are found in Thar alone; one of the largest lignite deposit in the world.
The project aims to developa coalmine in Thar with the production capacity of 6.5 milliontonnes
per year and construct a 660 MW power plant, in the first phase (by 2017) while in the second
phase another 660 MW power plant will be in place by 2019. Total cost of the project including
mining and power generation is $1.6 billionand it will be completed in three-and-a-half years. It
was also disclosed that the price of the electricitywill reduce with the passage of time.
Thar has beendivided into 12 blocks, out of which four blocks have been awarded to different
investors. The government of Sindh and Engro are investing in Block-II, which will produce 3,960
MW power and it is only 1.0 percent of the total capacity of Thar Coal mines.
Thar coal resources have an estimated potential of generating more than 100,000 MW electricity
over a period of 300 years; thus, providing an opportunity for large-scale mining and power
generation over a long period of time.
28
Surveys by differentnational and international agencies have shown that Thar coal is suitable for
power generation. This project is technically and commercially more viable that any other project.
Lakhra Coal
After the first discovery of coal in 1853, as aforesaid, many geological investigations have been
conducted in the Lakhra area by national and international organizations. Interests in large-
scale exploration of coal for power generation began to develop in the early 1960s when GSP
and USGS performed a systematic geological investigation of the area. WPIDC’s tests found
Lakhra coal unsuited for hard coke production, but suitable for power generation.
In 1996, WPIDC engaged a Polish firm to undertake a mining and power generation feasibility
study on Lakhra coal. In 1978, JICA carried out additional technical, financial and economical
feasibility studies. In 1981, JICA reported positive results and concluded that a 300 MW plant
was technically feasible, but estimated the coal production cost to be very high. Then GOP
asked USAID to review all studies on Lakhra and make recommendations on the technical and
economical feasibility of a coal-fired power station. USAID completed its Lakhra feasibility study
by 1986 and confirmed JICA’s appraisal, but proposed changes in design of the plant lowering
the estimated cost. The USAID feasibility study concluded that a Lakhra coal mine, supplying
coal for a 2 x 250 MW units power plant, was technically sound and socially and
environmentally feasible.
The Lakhra coalfield is connected by road through the Indus Highway and a rail track is also
available near Khanot, which is also located on the Indus Highway. The Lakhra coalfield is at a
distance of 50 km. from Hyderabad and 175 km. from Karachi. Significant coal beds are
Dhanwari, Lailian and Kath. The Lailian seam, persistent throughout the area, is 3 meters thick.
However, the overall average thickness of the Lakhra coal seamis 1.5 meter. The over burden
of the first mineable coal seamranges from 50 to 150 meters.
The Lakhra coal field is doubly plunging anticline, known as the Lakhra Anticline. Its axis runs in
a north-easterly direction. The folding is gentle and the strata dips at 7 degrees. A group of
faults parallel to the anticline axis and dipping 70 to 80 degrees, with a small down-throw, exist
in the coalfield area. The total coal resources of Lakhra are estimated at 1,328 million tonnes, of
which 146 million tonnes is considered mineable. The coal reserves and chemical analysis of
coal samples are at Table 3
29
30
Sonda-Jherruk Coal (including Indus East and Meting-Jhimpir)
The Sond-Jherruk Coalfield includes Indus East, and was discovered by GSP/USGS in 1981.
During 1989 to 1986GSP drilled 80 holes in the area, which covers an area of 1500 sq. km. The
drilling data indicates that the coal bed is about 6.2 meters thick and the over burden is about
120 meters at the first mineable seam. The total coal reserves are estimated to be 7,773 million
tonnes, of which 147 million tonnes is considered as mineable. The feasibility study of Sonda
coal is yet to be initiated. The coal reserves and chemical analysis of coal samples are at Table 4
31
6.2 BALOCHISTAN COAL RESOURCES:
There are number of coalfields in Balochistan. However, the major coalfields are Sor-
Range/Degari, Khost/Sharigh/Harnai/Ziarat, Mach and Duki (Map 4). The total coal reserves are
about 217 million tonnes, of which 32 million tonnes are considered mineable. The thickness of
coal seams ranges from 0.3 to 2.3 meters. Balochistan coal is classified as sub-bituminous to
bituminous and the heating value ranges from 9,637 to 15,499 Btu/lb. It has low ash and high
sulfur coal, and is considered suitable for power generation. Small power plants up to 25 MW
can be set up in each coalfield.
Sor-Range and Degari Coal
The Sor-Range and Degari coalfields are located about 12 km south of Quetta city, and extend
south-east for a distance of 26 km, covering an area of about 50 sq. km. The northern half of
the field is known as Sor-Range, and the southern as Degari. Quetta is the nearest railhead for
the Sor-Range mines and Spezand for the Degari mines. This is one of the largest coal-producing
fields of Balochistan. The coalfield is approachable by a metalled road which encircles the entire
coalfield joining the Quetta-Sibi highway near Spezand. The coal-bearing area is a doubly
plunging symmetrical syncline. The coal seams generally dip at angles of 45 to 50 degrees. The
coalfield lies in an arid to semi-arid region with extreme temperature changes. It experiences
heavy snowfall and rain during winter, but little rain during summer. The thickness of the coal-
bed ranges from 0.3 m to 1.3 m. The total coal reserves are estimated at 50 million tonnes. The
coal is subbituminous in quality and is considered suitable for power generation. Small power
plants up to 25 MW can be setup in each Sor-Range and Degari coalfield. The coal reserves and
coal quality
32
33
Table 5: Sor-Range and Degari Coal Quality and Reserves
The quality of the coal is Sub-bituminous
Khost, Sharigh and Harnai Coal
Khost, Sharigh and Harnai coalfields cover an area of 200 sq. km in the Sibi the District of
Balochistan. It is located at a distance of 160 km to the East and North- East of Quetta. The Sibi-
Khost extension of Pakistan Railway runs along the coalfields. The coalfields are also connected
by an unmetalled road. The coal is of
Bituminous to Sub-bituminous quality. Coal beds are generally thin, ranging from 0.3 meter to
2.3 meters in thickness and dipping at 60 degrees. The coal is considered suitable for power
generation. Small power plants up to 50 MW can be set up, based on coal produced from these
three small coalfields. The coal reserves and coal quality analysis is at Table 6.
Table 6: Khost, Sharigh, and Harnai Coal Quality and Reserves
The quality of the coal is Sub-bituminous
34
Mach Coal
The Mach coalfield covers an area of 45 sq. around Mach town in the Bolan Pass, on both sides
of the railway line
that connects Quetta with Karachi. Several coal seams are present, ranging in thickness from
0.3 m to 1.5 m, but
only three beds with an average thickness of 0.75 m are commercially workable. The quality of
coal is Subbituminous. The coal is subject to spontaneous combustion, and is suitable for power
generation. The coal reserves are estimated to be 23 million tonnes. Small power plants up to
25 MW can be set up, based on this coal. The coal reserves and coal quality analysis is at Table
Table 7: Mach Coal Quality and
Reserves
The quality of the coal is Sub-bituminous
35
Duki Coal
The Duki coalfield is located in the Loralai District of Balochistan, about 320 km east of Quetta,
and is connected
by a metalled road. It covers an area of 300 sq. km and is characterized by a moderately dipping
syncline. The workable seamhas a thickness of 0.5 m and is high volatile bituminous coal. The
total reserves of Duki coalfield are
estimated at about 13 million tonnes. The coal reserves and quality analysis is at Table 8.
The quality of the coal is Sub-bituminous
6.3 Punjab coal resources
The main coalfields of Punjab are in the Salt-Range and at Makarwal (Map 5). The total coal
resources are estimated at 235 million tonnes, of which 33 million tonnes are mineable. Punjab
coal is classified as Sub-bituminous, and the heating value ranges from 9,472 to 15,801 Btu/lb.
It has low ash and high sulfur, and is considered suitable for power generation
Salt-Range Coal
The Salt-Range coalfield covers an area of about 260 sq. km between Khushab, Dandot and
Khewra in the Sargodha and Jhelum Districts of Punjab. The total reserves of the Salt-Range
coal are approximately 213 million tonnes, of which 30 million tonnes are mineable. There are
more than two coal seams present in the Salt-Range but, in most cases, only one is mineable
which varies in thickness from 0.3 m to 1.5 m with an average thickness of 0.75 m. Small power
plants of up to 80 MW can be set up, based on Salt-Range coal. The coal quality is Sub-
36
bituminous and is suitable for power generation. The coal reserves and analysis of coal samples
is at Table 9.
Table 9: SALT-RANGECOAL QUALITY &RESERVES
The quality of the coal is Sub-bituminous
.
37
Makarwal Coal
The Makarwal coalfield is located in the Mianwali District of Punjab. It covers an area of about
75 km, situated near
Makarwal town and 13 km west of Kalabagh. The Makarwal coalfield is connected with the
Mari Indus-Bannu narrow gauge railway line. The coal occurs in the steeply dipping Hangu
38
Formation and the thickness of its bed ranges from 0.5 to 2.0 m. The coal resources have been
reported to about 22 million tonnes and its quality
is reported to be Sub-bituminous. The coal reserves and analysis of coal samples is at Table 10.
Table 10:
MAKARWAL COAL QUALITY &RESERVES
The quality of the coal is Sub-bituminous
6.4 NWFP COAL RESOURCES
The coalfields of NWFP are not yet fully explored. Its coal deposits are located in two areas,
namely Hangu and Cherat (Map 6). The coal resources of Hangu and Cherat are estimated to be
91 million tonnes. The coal is classified as Sub-bituminous and its heating value ranges from
9,386 to 14,217 Btu/lb. It has low sulfur and low ash. The coal beds in Hangu area are up to 3.5
m thick whereas the coal beds in Cherat area are generally less than one meter in thickness.
The coal reserves and analysis of coal samples is at Table 11.
Table 11:NWFP COAL QUALITY & RESERVES
39
The quality of the coal is Sub-bituminous
40
41
6.5 AZAD JAMMU AND KASHMIR COAL RESOURCES
42
7. COAL PRODUCTION AND CONSUMPTION IN PAKISTAN
7.1 CONUMPTION OF COAL
Power Generation
While considering the development of power stations based on lignite coal, it is important to
take
into consideration the following factors:
a) The power station must be located at the mine site, because the low energy and high
moisture content of lignite coal do not justify the transportation cost.
b) Transmission and power line losses require the load centre to be in reasonable proximity
to the power station (200 km) and, consequently, relatively close to the mine.
c) Lignite coal has certain characteristics which require special consideration when selecting the
type of equipment for mining and power generation, e.g. high moisture content will reduce the
efficiency of power generation and add to the cost of capital for the equipment required to
burn the coal. On the other hand, boiler efficiency and the coal feed rate increases as the
moisture content of the coal increases. Similarly, the ash content of lignite may contain mineral
matter bound with the organic material, and these elements, especially sodium, can cause
severe slugging and fouling problems in conventional boiler.
Despite these problems, lignite coal is used extensively for power generation throughout the
world. In many areas, there is abundance of lignite reserves, as in Pakistan. Pakistan’s
enormous deposits of lignite need to be developed, because it is relatively cheap to mine and
suitable for power generation. Open-cut mines using Bucket Wheel Excavators are able to
recover lignite from the thick coal beds located in the Thar coalfield. This type of mining is very
common in Germany, Greece, Spain, Australia and India.
The Thar lignite of Sindh has 50% moisture. SFBD technology, now commercially developed,
however, removes moisture from coal by direct evaporation in a steam heated exchanger, and
produces dry coal with very little moisture. Another technology for power generation from
lignite coal is Circulating Fluidized Bed (CFB) which is also very effective. In CFB technology, coal
mixed with limestone is burned in a fluidized bed. The sulfur in the coal is absorbed by the
calciumcarbonate, and the emission is free from sulfur dioxide. Pakistan has large very deposits
of limestone in all its provinces. The Integrated Gasification and Combined Cycle (IGCC), which
increases the efficiency and reduces the emission level of the power generation , is a recent
advanced technology applicable to high oisture lignite coal for power generation.
43
Use of Coal as an Industrial Fuel
The importance of coal as an industrial fuel and its role in a wide range of industrial applications
are well known in the industry. It is a cheaper fuel than others. In some industrial applications,
such as brick kilns and glass tanks, the high emission of the coal flame is a distinct advantage. In
brick kilns, for example, it has been found that one tonne of coal will do the same work as one
tonne of oil. Coal is used as boiler fuel for the supply of steam to process plant in the paper,
chemical, and food processing industries. It is used for direct firing in the manufacture of
cement, bricks, pipes, glass tanks, and metal smelting.
Brick Kilns
Presently, coal is commonly used for making bricks and roofing tiles, as it is an ideal fuel for
kilns, especially for heavy clay products. In Pakistan, about 50% of coal production is used in the
brick kiln industry. Therefore a large market for indigenous coal is available in Pakistan for
interested private investors.
Cement
In many countries, coal is used as fuel in the cement industry. Previously, coal was not used as
fuel in cement plants in Pakistan, but now the cement industry has started using indigenous
coal. The GOP is now conducting a feasibility study to convert gas-based and oil-based cement
plants to run on indigenous coal. It is expected that, in future more and more cement plants will
use indigenous coal as fuel. This constitutes another market for indigenous coal for private
investors.
Coal Briquettes
Yet another industrial use of coal is in the form of smokeless coal briquettes which can be used
as domestic fuel, and would have special applicability in reducing deforestation in the Northern
Areas of Pakistan. Pakistan’s Fuel Research Centre has developed smokeless coal briquette of
good quality in its pilot plant at Karachi.
Coal Gasification
Electricity generation is severely affected by rapidly escalating gas and oil prices in Pakistan.
IGCC power plants have the potential of being economically competitive by using gas produced
from indigenous coal. Furthermore, catalytic coal gasification is developed as a more efficient
and less costly process to produce gas from coal. Methanol or synthetic gas can be produced
from Thar coal at the coalfield and can easily be transported by pipeline throughout the
demand centres.
UndergroundCoal Gasification
A technology is also available for insitu conversion of coal into gas, which can be used for power
generation or for conversion into higher value products such as diesel fuel, methanol, and
ammonia. Underground coal gasification can be applied to both horizontal and inclined coal
44
beds. Coal not recoverable by conventional mining methods, can be accessed for insitu coal
gasification. Private investors can use this new technology where coal beds are thin and steeply
dipping, and not economical for mining by conventional mining methods.
Coal Consumptionin Pakistan(2002 –03)
45
Ministry of Water & Power
The Ministry of Water and Power plays the lead role in the implementation of all policy
pertaining to water and power issues in the country. The Ministry of Water and Power has been
assigned the following responsibilities:
Development of water and power resources of the country
All matters relating to the 1960 Indus Water Treaty and Indus Basin Works
All matters/functions relating to WAPDA
Liaison with international engineering organizations in the water and power sectors, such as the
International Commission on large dams, International Commission on Irrigation & Drainage,
and International Commission on Large Power Systems
Assistance to federal agencies and institutions for promotion of special studies in the water and
power sectors
All matters relating to electricity in Pakistan
All matters pertaining to KESC and Pakistan Electric Agencies Limited
Matters relating to National Engineering (Services) Pakistan Ltd.
Matters relating to the National Tube-well Construction Corporation
Matters relating to the Indus River System Authority
All matters pertaining to PPIB
27
46
47
Pakistan’s per capita energy consumption is the lowest of the six most populous countries on
earth (China, India, the U.S., Indonesia, Brazil, and Pakistan). U.S. per capita usage is highest,
with 56.6 BOE per year, followed by China’s 9.4 BOE. But Pakistan is racing to catch up, and its
energy consumption growth rate is second only to China’s. Between 2000 and 2006 its total
energy consumption grew at an average yearly rate of 5.5 percent (China’s was 9.8 percent).
That surge reflects the country’s booming economy. Pakistan’s G.D.P. is growing by about 6.6
percent per year.
7.2 PRODUCTION OF COAL
Electricity production from coal sources (kWh) in Pakistan was last measured at 116000000 in
2009, according to the World Bank. Sources of electricity refer to the inputs used to generate
electricity. Coal refers to all coal and brown coal, both primary (including hard coal and lignite-
brown coal) and derived fuels (including patent fuel, coke oven coke, gas coke, coke oven gas,
and blast furnace gas). Peat is also included in this category.
48
WORLD BANK INDICATORS - PAKISTAN - ENERGYPRODUCTION & USE
1990 2000 2010
Energyproduction(ktof oil equivalent) inPakistan 34248.0 46918.9
Electricityproductionfromcoal sources(kWh) inPakistan 38000000.0 241000000.0
Electricityproductionfromcoal sources(% of total) inPakistan 0.1 0.4
Electricityproductionfromhydroelectricsources(kWh) inPakistan 16925000000.0 17194000000.0
Electricityproductionfromhydroelectricsources(% of total) inPakistan 44.9 25.2
Electricpowertransmissionanddistributionlosses(kWh) inPakistan 7808000000.0 16546000000.0
Electricpowertransmissionanddistributionlosses(% of output) inPakistan 20.7 24.3
Electricityproductionfromnatural gassources(kWh) inPakistan 12669000000.0 21780000000.0
49
Electricityproductionfromnatural gassources(% of total) inPakistan 33.6 32.0
Electricityproductionfromnuclearsources(kWh) inPakistan 293000000.0 1997000000.0
Ministry of Petroleum&Natural Resources
A mineral development wing has been established in the Ministry of Petroleum and Natural
Resources. This organization is responsible for mineral and coal development in Pakistan. The
Mineral Wing makes policies for the rapid development of minerals, including coal, in Pakistan.
It collects data/information regarding Pakistan’s coal/mineral resources, which it provides to
prospective investors for development and utilization.
Geological Survey of Pakistan(GSP)
The Geological Survey of Pakistan (GSP) is responsible for preparation of geological,
geophysical and geochemical maps, and for making available geo-data required for large-scale
coal and mineral exploration mapping. GSP is also responsible for exploratory drilling, sampling,
analysis and estimation of reserves for coal/minerals in Pakistan. GSP performs the following
functions: a. Undertakes geological, geophysical, geochemical and tectonic surveys, generates
and disseminates basic data on potential prospecting areas as per priorities determined by the
Mineral Investment Facilitation Authority (MIFA).
b. Produces 1: 250,000 geological maps and 1: 50,000 maps of the whole country, commencing
with priority
50
areas identified by the Provinces.
c. Expedites publication of geological, geophysical and geochemical data and makes available
maps thereof.
d. Coal/mineral exploration is a minimal activity of GSP, merely for support to its regional
surveys.
e. Helps the Provinces in generating geological data.
.
Lakhra Coal Development Company (LCDC)
LCDC is responsible for developing the Lakhra coalmines and coal-fired power plants in the
public sector of Pakistan. In the first phase, LCDC supplies coal and limestone to FBC
technology-based coal power plants set up by WAPDA at Khanot near Lakhra9.2.2 Sindh Coal
Authority (SCA) The Sindh Coal Authority (SCA) was established in 1993 to explore, exploit,
develop, and utilize the vast indigenous coal resources of Sindh. The main objective of SCA is to
attract potential investors to establish integrated projects of coal-mining and coal-fired power
plants in Sindh. SCA provides a one-window facility, and preliminary data required for coal
mining and coal-fired power plants. SCA acts as a lead agency to perform
51
The total nominal power generation capacity of Pakistan as on June 30, 2011 was 23,412 MW;
of which 16,070 MW (68.64%) was thermal, 6,555 MW (28.00%) was hydroelectric and 787 MW
(3.36%) was nuclear.
52
1. Installed Generation Capacity by
Source
2. Installed Generation Capacity by
Sector
3. Installed Generation Capacity by
Type
4. Installed Generation Capacity by
System
53
History Pakistan Asia & Oceania World Rank Pakistan
Production (1980-2012) 3.983 5,529 8,444 35 3.407
Consumption (1980-2012) 8.455 5,482 8,285 40 7.013
Net Export/Imports(-) (1980-2012) -4.472 -39 -- 27 -3.606
7.3 COMPARISON OF COAL CONSUMPTION OF PAKISTAN WITH
WORLD
PAKISTAN
 Population 179.2 million (2012)
 Electricity consumption per capital 457.81 kWh (2010)
54
Energy use per capita elsewhere
 United States of America
 7,069.33 kg of oil equivalent (2011)
 Syria
 1,009.35 kg of oil equivalent (2010)
 Iran
 2,798.28 kg of oil equivalent (2010)
55
56
8. ECONOMIC BENEFITS
8.1 BENEFITS OF INDIGENOUS COAL DEVELOPMENT
It is useful to summarize the reasons for development of indigenous coal in Pakistan. In terms
of
energy content, Pakistan’s coal is its largest fossil energy resources. At present, these coal
resources
are perhaps a thousand times greater than known natural gas resources in terms of energy
content
and have the largest potential for continuing future electricity supplies. Although Pakistan has
coal
resources in all its four provinces, more than 95% are in Sindh. The development of indigenous
coal will provide the following benefits.
 Electricity generation at large scale and may be at low cost
 Reduction of foreign exchange imbalance
 Allocation of domestic natural gas for other priority industrial uses, such as
petrochemical
 and fertilizers
 Availability of indigenous coal for making bricks, cement and smokeless coal briquettes
for
 domestic use to prevent deforestation
 Increased employment opportunities
 Self-sufficiency in energy supply
 Generating revenue for economic development and poverty elimination
 Development of underdeveloped areas
 Development of infrastructure set-up in the country
 Manufacturing of indigenous mining and power plant machinery and equipment
 Transfer and adaptation of modern mining technology, gaining mechanized mining
experience,
 availability of trained mining personnel and development of coal-mining industry in
Pakistan
 Multiplier effect by creating a number of support industries and providing additional
employment for skilled labor
 Reduction in demand for imported fuel which drains the foreign exchange resources of
Pakistan
 Security from interruption of energy supplies and protection from international oil price
fluctuations
 Production of methanol and synthetic natural gas by coal gasification
 Opportunities for foreign investment and joint venture activity in the country
57
 Gasification including insitu gasification of coal for power generation
 Extraction of coal-bed methane for power generation and other industrial use
 Production of liquid fuel from coal
The aforementioned benefits indicate the importance of indigenous coal development for
Pakistan. These expected
benefits and presence of enormous coal resources provide great opportunities for investors to
invest in the coal sector as well as in the development of coal-related infrastructure in Pakistan.
Prospective investors can now feel secure in investing in any large-scale coal and coal power
projects in Pakistan since a sizeable market for coal and attractive incentives are available
through the one-window facility provided by PPIB.
Graph below show the projections about power supply and demand in the PEPCO and KESC's
systems indicating that the gap between supply and demand is likely to persist over next few
years. Any slippage in the addition of new generation capacity or fuel availability will further
widen the gap between supply and demand
Challenges inPakistan’s Power Sector
 Move toward expensive power generation mix [(68.64%) → Thermal; (28.00%) →
Hydro]
58
 High distribution losses in some DISCOs
 Low thermal efficiency of public sector GENCOs
 Low revenue collection in distribution companies
 Inability of the GOP to pass on cost of service to end consumers
 Inability to recover electricity receivables from public and private sectors
9. INITIATIVE REQUIRED
The Pakistani government has stated that overcoming the energy crisis in the country is a
primary goal. Potential policy options include increasing imports of energy efficient items such
as hybrid cars and LED bulbs, resolving the circular debt issue in the energy industry, and
increasing production and imports of alternative fuel sources.
A technology is also available for conversion of coal into gas, which can be used for power
generation or for conversion into higher value products such as diesel fuel, methanol, and
ammonia.
• Thar coal project
• Involve private sector
• Coal based powerhouses.
• Plants near coal mines to control expenses
• Agreements of mega projects.
• Explorations of more oil, gas and coal reserves.
• Provide training to the engineer for new technology
Coal and Energy Development Department gave recommendations in Pakistan Energy
Conference held on April 10‐12, 2011 at Hotel Serena, Islamabad
 Thar Coal as game‐changer for Pakistan
59
 Thar Coal fields should fully exploited as an energy source because it can reduce the
energy import
bill by USD 600 M and direct saving of USD 280 M to electricity consumers
 A comprehensive study should be done to explore the methane deposits potential in
and around
 A study for water deposits should be done at the fields
 Should act proactively to create the enabling environment for dev local coal for long
term energy solution
 Government should initiate public sector projects to produce at least 5000mw from
local coal
 Government should make efforts to seek international financing for Thar coal based
projects
 Essential infrastructure should be provided to promote large scale investment in
local coal at affordable rates
10. CONCLUSION
This study is exploratory in nature. We have done our best to conclude and sketch up some
recommendations in the light of identified hurdles in the way of implementing the appropriate
solution to our problem. Our study finds some major wholes in our system if they are covered
up we can not only overcome the deficiency of electricity in our systems but also we can be
able to export it to our neighboring countries
Whole world is facing energy crisis from decades including Pakistan as well....energy crisis setup
back every country from economic development and national growth. Pakistan is rich in coal
reserves which play a vital role in production of energy that is electricity used enormously in
industrial as well as domestic sector. The demand for electricity is increasing day by day
whereas supply is consistent. Pakistan government must work for the production of energy
through coal as a cheapest raw material of production. To meet the increasing demand of
electricity Government must take actions against mismanagement of policies and control over
political circumstances as far as to overcome the energy crisis.
60
REFERENCES
http://www.nmsea.org/Curriculum/Primer/forms_of_energy.htm
http://www.solarschools.net/resources/pdf/Energy%20Facts.pdf
http://home.clara.net/darvill/altenerg/
http://en.wikipedia.org/wiki/List_of_energy_resources
http://en.wikipedia.org/wiki/Energy_crisis
http://planetforlife.com/
http://theworldsenergycrisis.wikidot.com/
http://en.wikipedia.org/wiki/World_energy_consumption
http://yearbook.enerdata.net/
http://www.indexmundi.com/pakistan/#Energy
http://www.pide.org.pk/psde24/pdf/03.pdf
http://en.wikipedia.org/wiki/Coal
http://en.wikipedia.org/wiki/History_of_coal_mining
http://en.wikipedia.org/wiki/Coal_mining
http://www.nepra.org.pk/Policies/Coal%20Potential%20in%20Pakistan.pdf
http://en.wikipedia.org/wiki/Thar_coalfield
http://www.dailytimes.com.pk/business/30-Jan-2014/thar-coal-project-between-sindh-govt-
engro-nawaz-for-speedy-utilisation-of-natural-resources
http://www.sindhpnd.gov.pk/PressReleases/Sindh%20Dev%20ChapterWise/01-
DevofTharCoal.pdf
http://www.diplomaticcircle.com/September11_Articles/coal_gold_Sept11.php
http://www.indexmundi.com/energy.aspx?country=pk&product=coal&graph=production+cons
umption
http://www.tititudorancea.com/z/ies_pakistan_coal_consumption.htm
61
http://pcst.org.pk/journal/JN/2012/STD%20vol%2031(3)2012/2.%20A%20Review%20of%20Co
al%20and%20Water%20Resources%20of%20Pakistan.pdf
http://www.factfish.com/statistic-
country/pakistan/coal,%20consumption%20by%20other%20industries%20and%20construction
http://www.nepra.org.pk/Policies/Coal%20Potential%20in%20Pakistan.pdf
http://www.scribd.com/doc/33744642/Coal-Project
http://www.scribd.com/doc/44850115/Coal-Reserves-of-Pakistan

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Energy (Coal Reserves of Pakistan)

  • 1. 1 INTRODUCTION Electricity plays a key role in the national growth and economic development of any country. Presently, in Pakistan, only about half the population has access to electricity. 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. However, increasing urbanization and industrialization in the country provide a great opportunity for expansion of the power sector. Pakistan is a coal-rich country, but, unfortunately, coal has not been developed for power generation for more than three decades due to lack of infrastructure, insufficient financing and absence of modern coal mining technical expertise. The Government has now determined to facilitate private investors to promote investment in coal development and coal power generation. Unavailability of reliable coal is the main obstacle to significant progress in coal power generation. The Federal Government and Provincial Governments, however, are continuously trying to facilitate private investors in developing and promoting indigenous coal for power generation. The presence of coal deposits in Pakistan was known before independence, but its economic value was highlighted in 1980 when large reserves of coal were discovered in the Lakhra and Sonda areas of Sindh Province. Coal is a cheap Indigenous energy resource and, after the discovery of 175.5 billion tonnes of coal in Thar area of Sindh, Pakistan’s coal power potential has increased manifold. It is anticipated that, if properly exploited, Pakistan’s coal resources may generate more than 100,000 MW of electricity for the next 30 years. Coal plays a vital role in electricity generation worldwide. Coal-fired power plants currently fuel 41% of global electricity. In some countries, coal fuels a higher percentage of electricity. The purpose of this study is to analyze the nature of this crisis and to propose some short-term as well as long-term solutions to this problem. 1. ENERGY Powerderivedfromthe utilizationof physical orchemical resources,especiallytoprovidelightandheat or to workmachines. 1.1 Forms of energy  Chemical energy - energy stored in fuel (i.e. food) which is released when chemical reactions take place
  • 2. 2  Kinetic energy - energy of a moving object  Gravitational potential energy (GPE) - energy an object contains due to its position  Elastic (strain) potential energy - energy stored in an object that is being stretched, squashed, twisted, you name it!  Electrical energy - energy transferred by an electric current  Thermal (heat) energy - energy of an object due to its temperature. This is partly because of the random kinetic energy of the particles of the object.  Nuclear energy - energy stored in an atom’s nucleus  Light energy - energy transferred through waves and light particles (photons)  Sound energy 1.2 Sources of energy Energy is one of the requirements necessary to run day to day activities. There are many different sources of energy that are naturally available throughout the world in different forms. Depending with energy regeneration, energy can be categorized into two main different sources which are renewable and non renewable sources. Renewable sources of energy Renewable sources of energy are obtained from different natural sources. The main common sources are sunlight, wind, tides and geothermal. Statistics has indicated that renewable sources of energy comprise approximate 16% of total global energy that is consumed on daily basis. One advantage about this form of energy is that it can be replaced and used continuously without becoming depleted. Renewable sources of energy are mostly used in three different areas which include electricity generation, heating by use of solar hot water and motor fuels through the use of renewable bio-fuels. Pros of renewable sources of energy 1. Renewable sources of energy are renewable and easily regenerated. This is unlike fossil fuels which are perishable once used. 2. Renewable source of energy such as solar produce clean energy that does not pollute the environment. This is because no burning is required during usage of the energy. 3. Most importantly, renewable energy are available everywhere throughout the world thus there is no chance of the sources becoming depleted in future. For example, solar energy is everywhere as the sun will always be there every day. 4. Maintenance cost needed to install and use the renewable energy is relatively cheap. Solar energy can be trapped easily and used for domestic needs. 5. Renewable sources of energy boost economic growth and increase job opportunities. This includes electrical energy which is used to run many industries.
  • 3. 3 Non-renewable sources of energy Non-renewable sources of energy have continued to produce constant energy throughout the world. This is because of their high availability. Sources of non-renewable energy can be attributed to natural sources that are not regenerated once the source is depleted. Sources include fossils fuels such as coal and petroleum products e.g. natural gas and diesels. Pros of non-renewable sources of energy Some such as natural gas burns without any soot hence less environmental pollution. 1. Most non-renewable sources of energy are easy to transport from one area to another. For example petroleum oils which can be transported via pipes. 2. Cost of producing non-renewable energy is low since they are naturally available. Furthermore they are cheap to transform from one form of energy to another. 3. Most of this energy sources are abundantly available in different areas. Their availability is not affected by climatic condition. 1.3 Energy resources These are modes of energy production, energy storage, or energy conservation listed below.  Atomic energy  Biodiesel  Biofuel  Biogas  Coal mining  Concentrated solar power  Diesel  Electrical grid  Energy tower  Gas turbine  Geothermal power  Hydroelectricity  Hydrogen economy  Hydropower  Methanol  Natural gas  Nuclear energy  Oil well  Peat  Petroleum  Renewable energy  Solar energy  Steam turbine  Thermal power station  Water turbine  Wind energy 2. GLOBAL ENERGY CRISIS Abundant and economical energy is the life blood of modern civilizations. Coal, nuclear and hydro are used primarily to make electricity. Natural gas is widely used for heating. Oil powered machines are ubiquitous. Clearly, we live in the age of oil, but the age of oil is drawing to a close. 80% of our energy usage comes from fossil fuels, around a third of it from oil. But reliance on fossil fuel based energy is simply no longer practical nor desirable. There are issues such as air pollution (which kills tens of thousands per year in the UK alone), the environmental
  • 4. 4 problems associated with fossil fuel extraction, not to mention its corrosive effects on society and politics (the so called “oil curse”). But probably two of the principle problems we will face over the next half a century are Peak oil and the need to avert dangerous climate change.  2000s energy crisis - Since 2003, a rise in prices caused by continued global increases in petroleum demand coupled with production stagnation, the falling value of the U.S. dollar, and a myriad of other secondary causes.  2008 Central Asia energy crisis, caused by abnormally cold temperatures and low water levels in an area dependent on hydroelectric power. At the same time the South African President was appeasing fears of a prolonged electricity crisis in South Africa."Mbeki in pledge on energy crisis". Financial Times. Retrieved 2008-02-10.  In February 2008 the President of Pakistan announced plans to tackle energy shortages that were reaching crisis stage, despite having significant hydrocarbon reserves. In April 2010, the Pakistani government announced the Pakistan national energy policy, which extended the official weekend and banned neon lights in response to a growing electricity shortage.  South African electrical crisis. The South African crisis led to large price rises for platinum in February 2008 and reduced gold production.  China experienced severe energy shortages towards the end of 2005 and again in early 2008. During the latter crisis they suffered severe damage to power networks along with diesel and coal shortages. Supplies of electricity in Guangdong province, the manufacturing hub of China, are predicted to fall short by an estimated 10 GW. In 2011 China was forecast to have a second quarter electrical power deficit of 44.85 - 49.85 GW.
  • 5. 5 2.1 ENERGY CRISIS IN PAKISTAN Several mandates and proposals have been called over the years to overlook the energy conservation, such as Neon signs were banned and the official weekend was extended from one to two days in an attempt to conserve electricity (Gillani, 2010)[2] and reducing the electricity load used by industrial units by 25% during peak hours (Aziz, 2007),[3] but no comprehensive long-term energy strategies were implemented. Since 1999, many legislative provisions were adopted for energy conservation including the seeking energy from various renewable energy sources. There is also an intense criticismabout the unequal distribution of energy, the irresponsible usage of energy sources, and the country's new plan which is aimed to raise country's dependence on imported oil for power generation to 50% by 2030 2.1.1 Timeline of PakistanEnergy Crisis 2011 The year started with the shut down of Uch power plant producing 585MW of electricity, as one of the pipelines providing fuel was blown up in the district of Jaffarabad. Pakistan faced one of its most crucial gas crises, with the shortfall rising up to 1.8 billion cubic feet (bcf). The year also experienced the worst CNG load shedding resulting in losses and problems for the consumers. However OGRA increased the gas tariff by 14 per cent in the beginning of the year which was one of the biggest tariff hikes in the history of Pakistan. Moreover, the energy shortfall reached up to 2,700 MW. 2010 Sheikhan gas field, which is located in Kohat, Kyber Pakhtunkhwa, was discovered. Moreover, the torrential rainfall in the year resulted in floods which caused much damage to the existing infrastructure transmitting/transferring energy and fuel. Towards the end of the year, country’s first rental power plant (RPP), with the capacity of 232 MW was inaugurated in Karachi. 2009 NASHPA oil fields were discovered in Karak district of Kyber Pakhtunkhwa. In the same year, Karachi faced one of its most crucial power breakdowns on June 17 in which the entire city was without power for 21 hours and more.Moreover, the country faced a power shortfall of 4,500 MW in the same year with the domestic demand rising up to 11,000 MW. However only 6,500 MW of generated power was catering to the entire demand.
  • 6. 6 2008 The demand and supply gap pertaining to electricity in Pakistan increased by 15 per cent.The major load shedding crisis also commenced in the same year with power outages extending up to 16 hours a day in many cities of the country. 2007 Pakistan faced one of its biggest power failures after Bhutto’s assassination in which production fell by 6,000 MW. 2006 Mela oil fields were discovered in the area of Kohat located in the province of Khyber Pakhtunkhwa. 2005 International Sovereign Energy, a Canadian company, signed an MoU with Oil and Gas Development Company Limited. The memorandum entailed further development of Toot Oil Fields. Pakistan was hit by one of its most devastating earthquakes which resulted in a vast damage to the infrastructural capital responsible for transmitting/transferring fuel. In the December of 2005, Karachi electric Supply Company, one of the largest vertically integrated power supply company in Pakistan was privatised. 2000 Balochistan Liberation Army allegedly bombed one of the minor pipelines transmitting gas from Sui gas fields. 3. CONSUMPTION OF ENERGY RESOURCES . The bargraph shows oil, coal and natural gas together supplying 85 percent of the world's energy supply in 2008.
  • 7. 7 * The United States consumes 25 percent of the world's oil and 70 percent of that is imported. * 61 percent of the world's oil reserves are in the Middle East. The United States has 2.4 percent. * 66.3 percent of the world's gas reserves are in the Middle East and the Russian Federation. The United States has 3.4 percent. 3.1 Energy consumption in Pakistan The electricity is used up by domestic consumers. The pie chart shows energy consumption in Pakistan in the year 2010- 2011. Next in line come the industries, and then comes the Agric Sector followed by the Commercial Sector. The statistic that most of the electricity consumption is that of home users is important as it shows how much non-payment of bills hampers the system. Areas like Karachi and Peshawar where the bill collections are low in various residential areas have a direct impact on increasing the size of the circular debt. This essentially means that unless collections are improved in areas that currently have low collections; the issue of circular debt shall go on as it is the collection money that eventually gets paid back to the National Grid, who then pay it back to the Power Generation Company
  • 8. 8 According to the Oil and Gas Journal (OGJ), Pakistan had 28.8 million barrels of proven conventional oil reserves as of January 1, 2005. Pakistan produced 60,000 barrels per day (bbl/d) of crude oil during 2004 and is currently producing around 64,000 bbl/d. Pakistan has ambitious plans to increase its current output to 100,000 bbl/d by 2010. Consumption of petroleum products during 2005 is estimated at 351.4 thousand bbl/d. While there is no prospect for Pakistan to reach self sufficiency in oil, the government has encouraged private (including foreign) firms to develop domestic production capacity. Currently, natural gas supplies 49 percent of Pakistan. s energy needs. (see graph below) According to the Oil and Gas Journal (OGJ), as of January 1, 2005, Pakistan had 26.83 trillion cubic feet (Tcf) of proven natural gas reserves. In 2003, the country produced around 0.84 Tcf. Consumption of natural gas during 2003 was at 0.84 Tcf, but consumption levels are expected to grow over the next few years. Pakistan is looking to increase its gas production to support increasing consumption. Currently, Pakistan ranks third in the world for use of natural gas as a motor fuel, behind Brazil and Argentina. In addition, Pakistan hopes to make gas the . fuel of choice. for future electric power generation projects. Coal currently plays a minor role in Pakistan. s energy mix. However, Pakistan contains an estimated 3,362 million short tons (Mmst), sixth-largest in the world. Recently, the discovery of low-ash, low-sulfur lignite coal reserves in the Tharparkar (Thar) Desert in Sindh province, estimated at 1,929 Mmst, has increased both domestic and foreign development interest. China, which began developing various electric power plants in tandem with the coal mines in 1994 in Pakistan, has shown the most interest.
  • 9. 9 Pakistan has 18 gigawatts (GW) of electric generating capacity .Thermal plants using oil, natural gas, and coal account for about 70 percent of this capacity, with hydroelectricity (hydro) making up 28 percent and nuclear 2.5 percent. Pakistan's total power generating capacity has increased rapidly in recent years, due largely to foreign investment, ultimately leading to a partial alleviation of the power shortages Pakistan often faces in peak seasons. 3.1.1 Consumption by Provinces 4. COAL: an energy resource Coal is the largest source of energy for the generation of electricity worldwide. Coal is primarily used as a solid fuel to produce electricity and heat through combustion. World coal consumption was about 7.25 billion tons in 2010 (7.99 billion short tons) and is expected to increase 48% to 9.05 billion tons (9.98 billion short tons) by 2030.China produced 3.47 billion tons (3.83 billion short tons) in 2011. India produced about 578 million tons (637.1 million short tons) in 2011. 68.7% of China's electricity comes from coal. The USA consumed about 13% of PROVINCE CONSUMPTION (IN%) Punjab 56% Sind 31% NWFP 10% Baluchistan 3%
  • 10. 10 the world total in 2010, i.e. 951 million tons (1.05 billion short tons), using 93% of it for generation of electricity. 46% of total power generated in the USA was done using coal. When coal is used for electricity generation, it is usually pulverized and then combusted (burned) in a furnace with a boiler. The furnace heat converts boiler water to steam, which is then used to spin turbines which turn generators and create electricity. The thermodynamic efficiency of this process has been improved over time. Simple cycle steamturbines have topped out with some of the most advanced reaching about 35% thermodynamic efficiency for the entire process. Increasing the combustion temperature can boost this efficiency even further. Old coal power plants, especially "grandfathered" plants, are significantly less efficient and produce higher levels of waste heat. At least 40% of the world's electricity comes from coal. 4.1 COALIFICATION At various times in the geologic past, the Earth had dense forests in low-lying wetland areas. Due to natural processes such as flooding, these forests were buried under the soil. As more and more soil deposited over them, they were compressed. The temperature also rose as they sank deeper and deeper. As the process continued the plant matter was protected from biodegradation and oxidation, usually by mud or acidic water. This trapped the carbon in immense peat bogs that were eventually covered and deeply buried by sediments. Under high pressure and high temperature, dead vegetation was slowly converted to coal. As coal contains mainly carbon, the conversion of dead vegetation into coal is called coalification. The wide, shallow seas of the Carboniferous Period provided ideal conditions for coal formation, although coal is known from most geological periods. The exception is the coal gap in the Permian–Triassic extinction event, where coal is rare. Coal is known from Precambrian strata, which predate land plants — this coal is presumed to have originated from residues of algae.
  • 11. 11 4.2 Types of COAL As geological processes apply pressure to dead biotic material over time, under suitable conditions it is transformed successively into: Peat, considered to be a precursor of coal, has industrial importance as a fuel in some regions, for example, Ireland and Finland. In its dehydrated form, peat is a highly effective absorbent for fuel and oil spills on land and water. It is also used as a conditioner for soil to make it more able to retain and slowly release water. Lignite, or brown coal, is t he lowest rank of coal and used almost exclusively as fuel for electric power generation. Jet, a compact form of lignite, is sometimes polished and has been used as an ornamental stone since the Upper Palaeolithic. Sub-bituminous coal, whose properties range from those of lignite to those of bituminous coal, is used primarily as fuel for steam-electric power generation and is an important source of light aromatic hydrocarbons for the chemical synthesis industry. Bituminous coal is a dense sedimentary rock, usually black, but sometimes dark brown, often with well-defined bands of bright and dull material; it is used primarily as fuel in steam-electric power generation, with substantial quantities used for h eat and power applications in manufacturing and to make coke. Steam coal is a grade between bituminous coal and anthracite, once widely used as a fuel for steam locomotives. In this specialized use, it is sometimes known as "sea-coal" in the US.[15] Small steamcoal (dry small steam nuts or DSSN) was used as a fuel for domestic water heating. Anthracite, the highest rank of coal, is a harder, glossy black coal used primarily for residential and commercial space heating. It may be divided further into metamorphically altered bituminous coal and "petrified oil", as from the deposits in Pennsylvania. Graphite, technically the highest rank, is difficult to ignite and is not commonly used as fuel — it is mostly used in pencils and, when powdered, as a lubricant.
  • 12. 12 5. COAL MINING Due to its abundance, coal has been mined in various parts of the world throughout history and coal mining continues to be an important economic activity today. Compared to wood fuels, coal yields that have higher amount of energy per mass and can often be obtained in areas where wood is not readily available. Though historically used as a domestic fuel, coal is now mostly used in industry, especially in smelting and alloy production as well as electricity generation. 5.1 History of Coal Mining Early coal extraction was small-scale, the coal lying either on the surface, or very close to it. Typical methods for extraction included drift mining and bell pits. As well as drift mines, small scale shaft mining was used. This took the form of a bell pit, the extraction working outward from a central shaft, or a technique called room and pillar in which 'rooms' of coal were extracted with pillars left to support the roofs. Both of these techniques however left considerable amount of usable coal behind. Archeological evidence in China indicates surface mining of coal and household usage after approximately 3490 BC. The earliest reference to the use of coal in metalworking is found in the geological treatise On stones (Lap. 16) by the Greek scientist Theophrastus (c. 371–287 BC): Among the materials that are dug because they are useful, those known as coals are made of earth, and, once set on fire, they burn like charcoal. They are found in Liguria... and in Elis as one approaches Olympia by the mountain road; and they are used by those who work in metals. The earliest known use of coal in the Americas was by the Aztecs who used coal for fuel and jet (a type of lignite) for ornaments. In Roman Britain, the Romans were exploiting all major coalfields (save those of North and South Staffordshire) by the late 2nd century AD. While much of its use remained local, a lively trade developed along the North Sea coast supplying coal to Yorkshire and London. This also extended to the continental Rhineland, where bituminous coal was already used for the smelting of iron ore.[7] It was used in hypocausts to heat public baths, the baths in military forts, and the villas of wealthy individuals. Excavation has revealed coal stores at many forts along Hadrian's Wall as well as the remains of a smelting industry at forts such as Longoviciumnearby.
  • 13. 13 After the Romans left Britain, in AD 410, there are no records of coal being used in the country until the end of the 12th century. Shortly after the signing of theMagna Carta, in 1215, coal began to be traded in areas of Scotland and the north-east England, where the carboniferous strata were exposed on the sea shore, and thus became known as "sea coal". This commodity, however, was not suitable for use in the type of domestic hearths then in use, and was mainly used by artisans for lime burning, metal working and smelting. As early as 1228, sea coal from the north-east was being taken to London. During the 13th century, the trading of coal increased across Britain and by the end of the century most of the coalfields in England, Scotland and Wales were being worked on a small scale. As the use of coal amongst the artisans became more widespread, it became clear that coal smoke was detrimental to health and the increasing pollution in London led to much unrest and agitation. As a result of this, a Royal proclamation was issued in 1306 prohibiting artificers of London from using sea coal in their furnaces and commanding them to return to the traditional fuels of wood and charcoal. During the first half of the 14th century coal began to be used for domestic heating in coal producing areas of Britain, as improvements were made in the design of domestic hearths. Edward III was the first king to take an interest in the coal trade of the north east, issuing a number of writs to regulate the trade and allowing the export of coal to Calais. The demand for coal steadily increased in Britain during the 15th century, but it was still mainly being used in the mining districts, in coastal towns or being exported to continental Europe. However, by the middle of the 16th century supplies of wood were beginning to fail in Britain and the use of coal as a domestic fuel rapidly expanded. In 1575, Sir George Bruce of Carnock of Culross, Scotland, opened the first coal mine to extract coal from a "moat pit" under the sea on the Firth of Forth. He constructed an artificial loading island into which he sank a 40 ft shaft that connected to another two shafts for drainage and improved ventilation. The technology was far in advance of any coal mining method in the late medieval period and was considered one of the industrial wonders of the age. During the 17th century a number of advances in mining techniques were made, such the use of test boring to find suitable deposits and chain pumps, driven by water wheels, to drain the collieries. Coal deposits were discovered by colonists in Eastern North America in the 18th century. 5.2 Methods of Coal Mining The most economical method of coal extraction from coal seams depends on the depth and quality of the seams, and the geology and environmental factors. Coal mining processes are differentiated by whether they operate on the surface or underground. Many coals extracted from both surface and underground mines require washing in a coal preparation plant. Technical and economic feasibility are evaluated based on the following: regional geologic
  • 14. 14 conditions; overburden characteristics; coal seamcontinuity, thickness, structure, quality, and depth; strength of materials above and below the seam for roof and floor conditions; topography (especially altitude and slope); climate; land ownership as it affects the availability of land for mining and access; surface drainage patterns; ground water conditions; availability of labor and materials; coal purchaser requirements in terms of tonnage, quality, and destination; and capital investment requirements.[5] Surface mining and deep underground mining are the two basic methods of mining. The choice of mining method depends primarily on depth of burial, density of the overburden and thickness of the coal seam. Seams relatively close to the surface, at depths less than approximately 180 ft (50 m), are usually surface mined. Coal that occurs at depths of 180 to 300 ft (50 to 100 m) are usually deep mined, but in some cases surface mining techniques can be used. For example, some western U.S. coal that occur at depths in excess of 200 ft (60 m) are mined by the open pit methods, due to thickness of the seam60–90 feet (20–30 m). Coals occurring below 300 ft (100 m) are usually deep mined. However, there are open pit mining operations working on coal seams up to 1000–1500 feet (300–450 m) below ground level, for instance Tagebau Hambach in Germany. 5.2.1. Modernsurface mining Trucks loaded with coal at the Cerrejón coal mine in Colombia When coal seams are near the surface, it may be economical to extract the coal using open cut (also referred to as open cast, open pit, or strip) mining methods. Open cast coal mining recovers a greater proportion of the coal deposit than underground methods, as more of the coal seams in the strata may be exploited. Large Open Cast mines can cover an area of many
  • 15. 15 square kilometers and use very large pieces of equipment. This equipment can include the following: Draglines which operate by removing the overburden, power shovels, large trucks in which transport overburden and coal, bucket wheel excavators, and conveyors. In this mining method, explosives are first used in order to break through the surface, or overburden, of the mining area. The overburden is then removed by draglines or by shovel and truck. Once the coal seamis exposed, it is drilled, fractured and thoroughly mined in strips. The coal is then loaded on to large trucks or conveyors for transport to either the coal preparation plant or directly to where it will be used. Most open cast mines in the United States extract bituminous coal. In Canada (BC), Australia and South Africaopen cast mining is used for both thermal and metallurgical coals. In New South Wales open casting for steamcoal and anthracite is practised. Surface mining accounts for around 80 percent of production in Australia, while in the US it is used for about 67 percent of production. Globally, about 40 percent of coal production involves surface mining. Stripmining Strip mining exposes the coal by removing the overburden (the earth above the coal seam(s)) in long cuts or strips. The soil from the first strip is deposited in an area outside the planned mining area. Soil from subsequent cuts is deposited as fill in the previous cut after coal has been removed. Usually, the process is to drillthe strip of overburden next to the previously mined strip. The drill holes are filled with explosives and blasted. The overburden is then removed using large earthmoving equipment such as draglines, shovel and trucks,excavator and trucks, or bucket-wheels and conveyors. This overburden is put into the previously mined (and now empty) strip. When all the overburden is removed, the underlying coal seamwill be exposed (a 'block' of coal). This block of coal may be drilled and blasted (if hard) or otherwise loaded onto trucks or conveyors for transport to the coal preparation (or wash) plant. Once this strip is empty of coal, the process is repeated with a new strip being created next to it. This method is most suitable for areas with flat terrain. Equipment to be used depends on geological conditions. For example, to remove overburden that is loose or unconsolidated, a bucket wheel excavator might be the most productive. The life of some area mines may be more than 50 years.[9] Contour mining The contour mining method consists of removing overburden from the seamin a pattern following the contours along a ridge or around a hillside. This method is most commonly used in areas with rolling to steep terrain. It was once common to deposit the spoil on the
  • 16. 16 downslope side of the bench thus created, but this method of spoil disposal consumed much additional land and created severe landslide and erosion problems. To alleviate these problems, a variety of methods were devised to use freshly cut overburden to refill mined-out areas. These haul-back or lateral movement methods generally consist of an initial cut with the spoil deposited downslope or at some other site and spoil from the second cut refilling the first. A ridge of undisturbed natural material 15 to 20 ft (5–6 m) wide is often intentionally left at the outer edge of the mined area. This barrier adds stability to the reclaimed slope by preventing spoil from slumping or sliding downhill The limitations on contour strip mining are both economic and technical. When the operation reaches a predetermined stripping ratio (tons of overburden/tons of coal), it is not profitable to continue. Depending on the equipment available, it may not be technically feasible to exceed a certain height of highwall. At this point, it is possible to produce more coal with the augering method in which spiral drills bore tunnels into a highwall laterally from the bench to extract coal without removing the overburden. Mountaintopremoval mining Mountaintop coal mining is a surface mining practice involving removal of mountaintops to expose coal seams, and disposing of associated mining overburden in adjacent "valley fills." Valley fills occur in steep terrain where there are limited disposal alternatives. Mountaintop removal combines area and contour strip mining methods. In areas with rolling or steep terrain with a coal seam occurring near the top of a ridge or hill, the entire top is removed in a series of parallel cuts. Overburden is deposited in nearby valleys and hollows. This method usually leaves ridge and hill tops as flattened plateaus. The process is highly controversial for the drastic changes in topography, the practice of creating head-of-hollow-fills, or filling in valleys with mining debris, and for covering streams and disrupting ecosystems. Spoil is placed at the head of a narrow, steep-sided valley or hollow. In preparation for filling this area, vegetation and soil are removed and a rock drain constructed down the middle of the area to be filled, where a natural drainage course previously existed. When the fill is completed, this underdrain will form a continuous water runoff system from the upper end of the valley to the lower end of the fill. Typical head-of-hollow fills are graded and terraced to create permanently stable slopes.
  • 17. 17 5.2.2. UndergroundMining Coal wash plant in Clay County, Kentucky Most coal seams are too deep underground for opencast mining and require underground mining, a method that currently accounts for about 60 percent of world coal production. In deep mining, the room and pillar or board and pillar method progresses along the seam, while pillars and timber are left standing to support the mine roof. Once room and pillar mines have been developed to a stopping point (limited by geology, ventilation, or economics), a supplementary version of room and pillar mining, termed second mining or retreat mining, is commonly started. Miners remove the coal in the pillars, thereby recovering as much coal from the coal seamas possible. A work area involved in pillar extraction is called a pillar section. Modern pillar sections use remote-controlled equipment, including large hydraulic mobile roof- supports, which can prevent cave-ins until the miners and their equipment have left a work area. The mobile roof supports are similar to a large dining-room table, but with hydraulic jacks for legs. After the large pillars of coal have been mined away, the mobile roof support's legs shorten and it is withdrawn to a safe area. The mine roof typically collapses once the mobile roof supports leave an area. There are six principal methods of underground mining: Longwall mining Accounts for about 50 percent of underground production. The longwall shearer has a face of 1,000 feet (300 m) or more. It is a sophisticated machine with a rotating drum that moves mechanically back and forth across a wide coal seam. The loosened coal falls on to a pan line that takes the coal to the conveyor belt for removal from the work area. Longwall systems have
  • 18. 18 their own hydraulic roof supports which advance with the machine as mining progresses. As the longwall mining equipment moves forward, overlying rock that is no longer supported by coal is allowed to fall behind the operation in a controlled manner. The supports make possible high levels of production and safety. Sensors detect how much coal remains in the seamwhile robotic controls enhance efficiency. Longwall systems allow a 60-to-100 percent coal recovery rate when surrounding geology allows their use. Once the coal is removed, usually 75 percent of the section, the roof is allowed to collapse in a safe manner. Remote Joy HM21 Continuous Miner used underground Continuous mining Utilizes a Continuous Miner Machine with a large rotating steel drum equipped with tungsten carbide teeth that scrape coal from the seam. Operating in a “room and pillar” (also known as “board and pillar”) system—where the mine is divided into a series of 20-to-30 foot (5–10 m) “rooms” or work areas cut into the coalbed—it can mine as much as five tons of coal a minute, more than a non-mechanised mine of the 1920s would produce in an entire day. Continuous miners account for about 45 percent of underground coal production. Conveyors transport the removed coal from the seam. Remote-controlled continuous miners are used to work in a variety of difficult seams and conditions, and robotic versions controlled by computers are becoming increasingly common. Continuous mining is a misnomer, as room and pillar coal mining is very cyclical. In the US, one can generally cut 20 ft or 6 meters (or a bit more with MSHApermission) (12 meters or roughly 40 ft in South Africa before the Continuous Miner goes out and the roof is supported by the Roof Bolter), after which, the face has to be serviced, before it can be advanced again. During servicing, the "continuous" miner moves to another face. Some continuous miners can bolt and dust the face (two major components of servicing) while cutting coal, while a trained crew may be able to advance ventilation, to truly earn the "continuous" label. However, very few mines are able to achieve it. Most continuous mining
  • 19. 19 machines in use in the US lack the ability to bolt and dust. This may partly be because incorporation of bolting makes the machines wider, and therefore, less maneuverable. Room and pillar mining Consists of coal deposits that are mined by cutting a network of rooms into the coal seam. Pillars of coal are left behind in order to keep up the roof. The pillars can make up to forty percent of the total coal in the seam, however where there was space to leave head and floor coal there is evidence from recent open cast excavations that 18th century operators used a variety of room and pillar techniques to remove 92 percent of the in situ coal. However, this can be extracted at a later stage (see retreat mining). Blast mining Or conventional mining, is an older practice that uses explosives such as dynamite to break up the coal seam, after which the coal is gathered and loaded on to shuttle cars or conveyors for removal to a central loading area. This process consists of a series of operations that begins with “cutting” the coalbed so it will break easily when blasted with explosives. This type of mining accounts for less than 5 percent of total underground production in the US today. Shortwall mining A method currently accounting for less than 1 percent of deep coal production, involves the use of a continuous mining machine with movable roof supports, similar to longwall. The continuous miner shears coal panels 150 to 200 feet (40 to 60 m) wide and more than a half- mile (1 km) long, having regard to factors such as geological strata. Retreat mining Itis a method in which the pillars or coal ribs used to hold up the mine roof are extracted; allowing the mine roof to collapse as the mining works back towards the entrance. This is one of the most dangerous forms of mining, owing to imperfect predictability of when the ceiling will collapse and possibly crush or trap workers in the mine. 5.3 WHERE DOES THE COAL GO AFTER IT IS MINED? Steam coal, also known as thermal coal, is used in power stations to generate electricity. Coal is first milled to a fine powder, which increases the surface area and allows it to burn more quickly. In these pulverised coal combustion (PCC) systems, the powdered coal is blown into the combustion chamber of a boiler where it is burnt at high temperature (see
  • 20. 20 diagram below). The hot gases and heat energy produced converts water – in tubes lining the boiler – into steam. The high pressure steam is passed into a turbine containing thousands of propeller-like blades. The steampushes these blades causing the turbine shaft to rotate at high speed. A generator is mounted at one end of the turbine shaft and consists of carefully wound wire coils. Electricity is generated when these are rapidly rotated in a strong magnetic field. After passing through the turbine, the steamis condensed and returned to the boiler to be heated once again. The electricity generated is transformed into the higher voltages (up to 400,000 volts) used for economic, efficient transmission via power line grids. When it nears the point of consumption, such as our homes, the electricity is transformed down to the safer 100-250 voltage systems used in the domestic market. Efficiency Improvements Improvements continue to be made in conventional PCC power station design and new combustion technologies are being developed. These allow more electricity to be produced from less coal - known as improving the thermal efficiency of the power station. Efficiency gains in electricity generation from coal-fired power stations will play a crucial part in reducing CO2 emissions at a global level.
  • 21. 21 Efficiency improvements include the most cost-effective and shortest lead time actions for reducing emissions from coal-fired power generation. This is particularly the case in developing countries where existing power plant efficiencies are generally lower and coal use in electricity generation is increasing. Not only do higher efficiency coal-fired power plants emit less carbon dioxide per megawatt (MW), they are also more suited to retrofitting with CO2 capture systems. Improving the efficiency of pulverised coal-fired power plants has been the focus of considerable efforts by the coal industry. There is huge scope for achieving significant efficiency improvements as the existing fleet of power plants are replaced over the next 10-20 years with new, higher efficiency supercritical and ultra-supercritical plants and through the wider use of Integrated Gasification Combined Cycle (IGCC) systems for power generation. A one percentage point improvement in the efficiency of a conventional pulverised coal combustion plant results in a 2-3% reduction in CO2 emissions 6. COAL Resources of Pakistan The presence of coal deposits in Pakistan was known before independence, but its economic value was highlighted in 1980 when large reserves of coal were discovered in the Lakhra and Sonda areas of Sindh Province. The discovery of another huge coal deposit of 175.5 billion tonnes in an area of 10,000 sq. km in Tharparkar District of Sindh has provided a quantum increase in the coal resources of Pakistan. After this discovery, Pakistan is now the 6th richest nation of the world in respect of coal resources. Pakistan did not appear even on the list of coal- rich countries before the discovery of Thar Coal. Coal resources available to Pakistan exist in all four provinces and in AJK.
  • 22. 22 The total coal reserves are estimated at 185.5 billion tonnes, details whereof are in Table 1.
  • 23. 23 Pakistan Coal Resources PROVINCE COAL RESOURCES HEATING VALUE Coal Field Million Tones’ Btu/lb SINDH Thar 175,506 6,244 –11,045 Lakhra 1,328 5,503 –9,158 Sonda-Jherruck 5,523 5,219 –13,555 Meting- Jhimpir 473 5,219 –8,612 Indus East 1,777 7,782 –8,660 Badin 16 11,415 –11,521 Sub-Total 184,623 Balochistan Sor Range/Degari 50 11,245 –13,900 Khost/Sharigh/Harnai/Ziarat 88 9,637 –15,499 Mach 23 11,110 –12,937 Duki 56 10,131 –14,357 Sub-Total 217 Punjab Salt Range 213 9,472 –15,801 Makarwal 22 10,688 –14,029 Sub-Total 235 NWFP Hangu 82 10,500 –14,149 Cherat 9 9,386 –14,217 Sub-Total 91
  • 24. 24 AzadKashmir Kotli 9 7,336 –12,338 Grand Total 185,175 6.1 Sindh Coal Resources The Province of Sindh is located in the south of Pakistan. Coal was discovered in Sindh in 1853 when Baloch nomads reportedly struck a coal seam2.43 meters thick at a depth of 125 meters by sinking a well for water at Lakhra, a village on the western bank of the River Indus in district Dadu. Burmah Oil Company in 1948, and Pak Hunt International in 1953, recorded the presence of coal at Lakhra in holes drilled in search of oil. The Habibullah Mines Ltd. started commercial mining of coal in Lakhra in 1959. Sonda coal was discovered in 1980 and Thar coal in 1992 by GSP. The total coal resources of Sindh have been estimated to 184.6 billion tonnes whereas the coal deposits of Thar alone are estimated at 175.5 billion tonnes, which can ideally be utilized for power generation. In addition to Thar, the other coalfields of Sindh are at Lakhra, Sonda, Jherruck and Indus East (Map 2). The Lakhra coalfield is fully developed, and contains mineable coal reserves of 146 million tonnes. Sindh coal is classified as ‘Lignite’ with calorific value ranging from 5,219 to 13,555 Btu/lb. Thar coal has low sulfur and low ash content but high moisture, whereas Lakhra coal contains high sulfur. The feasibility study conducted by John T. Boyd & Co. of USA has confirmed mineability and suitability of Lakhra coal for power generation. The feasibility study of Thar coal is yet to be completed to confirm its mineability and suitability for large scale power generation. The Sonda coalfield, including Indus East, is the second largest coalfield of Sindh. The feasibility study of Sonda coal for power generation is yet to be initiated. Thar Coal The Thar coalfield is located in the south-eastern part of Sindh. The first indication of the presence of coal beneath the sands of the Thar Desert was reported while drilling water wells by the British Overseas Development Agency (ODA) in coordination with the Sindh Arid Zone Development Authority (SAZDA), in 1991. The Thar coalfield, with a resource potential of 175.5 million tones of coal, covers an area of 9000 sq. km. in the Tharparkar Desert. The mineable coal reserves are estimated to be 1,620 million tonnes. The coal-bearing area is covered by stable sand dunes. In order to establish the coal resources in the selected four blocks (Map 3), a total of 167 holes were drilled at one kilometer spacing. Coal resources of the four blocks are estimated at 9,629 million tonnes, as shown below.
  • 25. 25 The number of coal seams varies fromhole to hole, an
  • 26. 26 The number of coal seams varies from hole to hole, and a maximum of 20 seams have been logged in some of the drill holes. The thickness of coal seams varies from 0.2 to 22.8 meters, whereas the cumulative coal thickness in one of the drill holes is 36 meters. Clay-stone and loose sand beds form the roof as well as the floor rock of coal seams. The thickness of overburden varies from 112 to 203 meters. Thar coal reserves and chemical analysis of coal samples are at table 2
  • 27. 27 Thar Coal Project will usher in a new era of energy security for the country and prosperity for the people of Pakistan. It is heartening to know that this project is being carried out as Public-Private Partnership project betweengovernment of Sindh and Engro Corporation. Thar Coal development as a flagship project and considers it as a means to energy security for the country. The government of Pakistan appreciates the efforts of government of Sindh and its partners in making Thar mining and power project a success and assures federal government's support in resolving the issues like early provision of transmission line and ancillary matters. Pakistan's coal resource potential is estimated to be around 186 billiontonnes out of which 175 billiontonnes are found in Thar alone; one of the largest lignite deposit in the world. The project aims to developa coalmine in Thar with the production capacity of 6.5 milliontonnes per year and construct a 660 MW power plant, in the first phase (by 2017) while in the second phase another 660 MW power plant will be in place by 2019. Total cost of the project including mining and power generation is $1.6 billionand it will be completed in three-and-a-half years. It was also disclosed that the price of the electricitywill reduce with the passage of time. Thar has beendivided into 12 blocks, out of which four blocks have been awarded to different investors. The government of Sindh and Engro are investing in Block-II, which will produce 3,960 MW power and it is only 1.0 percent of the total capacity of Thar Coal mines. Thar coal resources have an estimated potential of generating more than 100,000 MW electricity over a period of 300 years; thus, providing an opportunity for large-scale mining and power generation over a long period of time.
  • 28. 28 Surveys by differentnational and international agencies have shown that Thar coal is suitable for power generation. This project is technically and commercially more viable that any other project. Lakhra Coal After the first discovery of coal in 1853, as aforesaid, many geological investigations have been conducted in the Lakhra area by national and international organizations. Interests in large- scale exploration of coal for power generation began to develop in the early 1960s when GSP and USGS performed a systematic geological investigation of the area. WPIDC’s tests found Lakhra coal unsuited for hard coke production, but suitable for power generation. In 1996, WPIDC engaged a Polish firm to undertake a mining and power generation feasibility study on Lakhra coal. In 1978, JICA carried out additional technical, financial and economical feasibility studies. In 1981, JICA reported positive results and concluded that a 300 MW plant was technically feasible, but estimated the coal production cost to be very high. Then GOP asked USAID to review all studies on Lakhra and make recommendations on the technical and economical feasibility of a coal-fired power station. USAID completed its Lakhra feasibility study by 1986 and confirmed JICA’s appraisal, but proposed changes in design of the plant lowering the estimated cost. The USAID feasibility study concluded that a Lakhra coal mine, supplying coal for a 2 x 250 MW units power plant, was technically sound and socially and environmentally feasible. The Lakhra coalfield is connected by road through the Indus Highway and a rail track is also available near Khanot, which is also located on the Indus Highway. The Lakhra coalfield is at a distance of 50 km. from Hyderabad and 175 km. from Karachi. Significant coal beds are Dhanwari, Lailian and Kath. The Lailian seam, persistent throughout the area, is 3 meters thick. However, the overall average thickness of the Lakhra coal seamis 1.5 meter. The over burden of the first mineable coal seamranges from 50 to 150 meters. The Lakhra coal field is doubly plunging anticline, known as the Lakhra Anticline. Its axis runs in a north-easterly direction. The folding is gentle and the strata dips at 7 degrees. A group of faults parallel to the anticline axis and dipping 70 to 80 degrees, with a small down-throw, exist in the coalfield area. The total coal resources of Lakhra are estimated at 1,328 million tonnes, of which 146 million tonnes is considered mineable. The coal reserves and chemical analysis of coal samples are at Table 3
  • 29. 29
  • 30. 30 Sonda-Jherruk Coal (including Indus East and Meting-Jhimpir) The Sond-Jherruk Coalfield includes Indus East, and was discovered by GSP/USGS in 1981. During 1989 to 1986GSP drilled 80 holes in the area, which covers an area of 1500 sq. km. The drilling data indicates that the coal bed is about 6.2 meters thick and the over burden is about 120 meters at the first mineable seam. The total coal reserves are estimated to be 7,773 million tonnes, of which 147 million tonnes is considered as mineable. The feasibility study of Sonda coal is yet to be initiated. The coal reserves and chemical analysis of coal samples are at Table 4
  • 31. 31 6.2 BALOCHISTAN COAL RESOURCES: There are number of coalfields in Balochistan. However, the major coalfields are Sor- Range/Degari, Khost/Sharigh/Harnai/Ziarat, Mach and Duki (Map 4). The total coal reserves are about 217 million tonnes, of which 32 million tonnes are considered mineable. The thickness of coal seams ranges from 0.3 to 2.3 meters. Balochistan coal is classified as sub-bituminous to bituminous and the heating value ranges from 9,637 to 15,499 Btu/lb. It has low ash and high sulfur coal, and is considered suitable for power generation. Small power plants up to 25 MW can be set up in each coalfield. Sor-Range and Degari Coal The Sor-Range and Degari coalfields are located about 12 km south of Quetta city, and extend south-east for a distance of 26 km, covering an area of about 50 sq. km. The northern half of the field is known as Sor-Range, and the southern as Degari. Quetta is the nearest railhead for the Sor-Range mines and Spezand for the Degari mines. This is one of the largest coal-producing fields of Balochistan. The coalfield is approachable by a metalled road which encircles the entire coalfield joining the Quetta-Sibi highway near Spezand. The coal-bearing area is a doubly plunging symmetrical syncline. The coal seams generally dip at angles of 45 to 50 degrees. The coalfield lies in an arid to semi-arid region with extreme temperature changes. It experiences heavy snowfall and rain during winter, but little rain during summer. The thickness of the coal- bed ranges from 0.3 m to 1.3 m. The total coal reserves are estimated at 50 million tonnes. The coal is subbituminous in quality and is considered suitable for power generation. Small power plants up to 25 MW can be setup in each Sor-Range and Degari coalfield. The coal reserves and coal quality
  • 32. 32
  • 33. 33 Table 5: Sor-Range and Degari Coal Quality and Reserves The quality of the coal is Sub-bituminous Khost, Sharigh and Harnai Coal Khost, Sharigh and Harnai coalfields cover an area of 200 sq. km in the Sibi the District of Balochistan. It is located at a distance of 160 km to the East and North- East of Quetta. The Sibi- Khost extension of Pakistan Railway runs along the coalfields. The coalfields are also connected by an unmetalled road. The coal is of Bituminous to Sub-bituminous quality. Coal beds are generally thin, ranging from 0.3 meter to 2.3 meters in thickness and dipping at 60 degrees. The coal is considered suitable for power generation. Small power plants up to 50 MW can be set up, based on coal produced from these three small coalfields. The coal reserves and coal quality analysis is at Table 6. Table 6: Khost, Sharigh, and Harnai Coal Quality and Reserves The quality of the coal is Sub-bituminous
  • 34. 34 Mach Coal The Mach coalfield covers an area of 45 sq. around Mach town in the Bolan Pass, on both sides of the railway line that connects Quetta with Karachi. Several coal seams are present, ranging in thickness from 0.3 m to 1.5 m, but only three beds with an average thickness of 0.75 m are commercially workable. The quality of coal is Subbituminous. The coal is subject to spontaneous combustion, and is suitable for power generation. The coal reserves are estimated to be 23 million tonnes. Small power plants up to 25 MW can be set up, based on this coal. The coal reserves and coal quality analysis is at Table Table 7: Mach Coal Quality and Reserves The quality of the coal is Sub-bituminous
  • 35. 35 Duki Coal The Duki coalfield is located in the Loralai District of Balochistan, about 320 km east of Quetta, and is connected by a metalled road. It covers an area of 300 sq. km and is characterized by a moderately dipping syncline. The workable seamhas a thickness of 0.5 m and is high volatile bituminous coal. The total reserves of Duki coalfield are estimated at about 13 million tonnes. The coal reserves and quality analysis is at Table 8. The quality of the coal is Sub-bituminous 6.3 Punjab coal resources The main coalfields of Punjab are in the Salt-Range and at Makarwal (Map 5). The total coal resources are estimated at 235 million tonnes, of which 33 million tonnes are mineable. Punjab coal is classified as Sub-bituminous, and the heating value ranges from 9,472 to 15,801 Btu/lb. It has low ash and high sulfur, and is considered suitable for power generation Salt-Range Coal The Salt-Range coalfield covers an area of about 260 sq. km between Khushab, Dandot and Khewra in the Sargodha and Jhelum Districts of Punjab. The total reserves of the Salt-Range coal are approximately 213 million tonnes, of which 30 million tonnes are mineable. There are more than two coal seams present in the Salt-Range but, in most cases, only one is mineable which varies in thickness from 0.3 m to 1.5 m with an average thickness of 0.75 m. Small power plants of up to 80 MW can be set up, based on Salt-Range coal. The coal quality is Sub-
  • 36. 36 bituminous and is suitable for power generation. The coal reserves and analysis of coal samples is at Table 9. Table 9: SALT-RANGECOAL QUALITY &RESERVES The quality of the coal is Sub-bituminous .
  • 37. 37 Makarwal Coal The Makarwal coalfield is located in the Mianwali District of Punjab. It covers an area of about 75 km, situated near Makarwal town and 13 km west of Kalabagh. The Makarwal coalfield is connected with the Mari Indus-Bannu narrow gauge railway line. The coal occurs in the steeply dipping Hangu
  • 38. 38 Formation and the thickness of its bed ranges from 0.5 to 2.0 m. The coal resources have been reported to about 22 million tonnes and its quality is reported to be Sub-bituminous. The coal reserves and analysis of coal samples is at Table 10. Table 10: MAKARWAL COAL QUALITY &RESERVES The quality of the coal is Sub-bituminous 6.4 NWFP COAL RESOURCES The coalfields of NWFP are not yet fully explored. Its coal deposits are located in two areas, namely Hangu and Cherat (Map 6). The coal resources of Hangu and Cherat are estimated to be 91 million tonnes. The coal is classified as Sub-bituminous and its heating value ranges from 9,386 to 14,217 Btu/lb. It has low sulfur and low ash. The coal beds in Hangu area are up to 3.5 m thick whereas the coal beds in Cherat area are generally less than one meter in thickness. The coal reserves and analysis of coal samples is at Table 11. Table 11:NWFP COAL QUALITY & RESERVES
  • 39. 39 The quality of the coal is Sub-bituminous
  • 40. 40
  • 41. 41 6.5 AZAD JAMMU AND KASHMIR COAL RESOURCES
  • 42. 42 7. COAL PRODUCTION AND CONSUMPTION IN PAKISTAN 7.1 CONUMPTION OF COAL Power Generation While considering the development of power stations based on lignite coal, it is important to take into consideration the following factors: a) The power station must be located at the mine site, because the low energy and high moisture content of lignite coal do not justify the transportation cost. b) Transmission and power line losses require the load centre to be in reasonable proximity to the power station (200 km) and, consequently, relatively close to the mine. c) Lignite coal has certain characteristics which require special consideration when selecting the type of equipment for mining and power generation, e.g. high moisture content will reduce the efficiency of power generation and add to the cost of capital for the equipment required to burn the coal. On the other hand, boiler efficiency and the coal feed rate increases as the moisture content of the coal increases. Similarly, the ash content of lignite may contain mineral matter bound with the organic material, and these elements, especially sodium, can cause severe slugging and fouling problems in conventional boiler. Despite these problems, lignite coal is used extensively for power generation throughout the world. In many areas, there is abundance of lignite reserves, as in Pakistan. Pakistan’s enormous deposits of lignite need to be developed, because it is relatively cheap to mine and suitable for power generation. Open-cut mines using Bucket Wheel Excavators are able to recover lignite from the thick coal beds located in the Thar coalfield. This type of mining is very common in Germany, Greece, Spain, Australia and India. The Thar lignite of Sindh has 50% moisture. SFBD technology, now commercially developed, however, removes moisture from coal by direct evaporation in a steam heated exchanger, and produces dry coal with very little moisture. Another technology for power generation from lignite coal is Circulating Fluidized Bed (CFB) which is also very effective. In CFB technology, coal mixed with limestone is burned in a fluidized bed. The sulfur in the coal is absorbed by the calciumcarbonate, and the emission is free from sulfur dioxide. Pakistan has large very deposits of limestone in all its provinces. The Integrated Gasification and Combined Cycle (IGCC), which increases the efficiency and reduces the emission level of the power generation , is a recent advanced technology applicable to high oisture lignite coal for power generation.
  • 43. 43 Use of Coal as an Industrial Fuel The importance of coal as an industrial fuel and its role in a wide range of industrial applications are well known in the industry. It is a cheaper fuel than others. In some industrial applications, such as brick kilns and glass tanks, the high emission of the coal flame is a distinct advantage. In brick kilns, for example, it has been found that one tonne of coal will do the same work as one tonne of oil. Coal is used as boiler fuel for the supply of steam to process plant in the paper, chemical, and food processing industries. It is used for direct firing in the manufacture of cement, bricks, pipes, glass tanks, and metal smelting. Brick Kilns Presently, coal is commonly used for making bricks and roofing tiles, as it is an ideal fuel for kilns, especially for heavy clay products. In Pakistan, about 50% of coal production is used in the brick kiln industry. Therefore a large market for indigenous coal is available in Pakistan for interested private investors. Cement In many countries, coal is used as fuel in the cement industry. Previously, coal was not used as fuel in cement plants in Pakistan, but now the cement industry has started using indigenous coal. The GOP is now conducting a feasibility study to convert gas-based and oil-based cement plants to run on indigenous coal. It is expected that, in future more and more cement plants will use indigenous coal as fuel. This constitutes another market for indigenous coal for private investors. Coal Briquettes Yet another industrial use of coal is in the form of smokeless coal briquettes which can be used as domestic fuel, and would have special applicability in reducing deforestation in the Northern Areas of Pakistan. Pakistan’s Fuel Research Centre has developed smokeless coal briquette of good quality in its pilot plant at Karachi. Coal Gasification Electricity generation is severely affected by rapidly escalating gas and oil prices in Pakistan. IGCC power plants have the potential of being economically competitive by using gas produced from indigenous coal. Furthermore, catalytic coal gasification is developed as a more efficient and less costly process to produce gas from coal. Methanol or synthetic gas can be produced from Thar coal at the coalfield and can easily be transported by pipeline throughout the demand centres. UndergroundCoal Gasification A technology is also available for insitu conversion of coal into gas, which can be used for power generation or for conversion into higher value products such as diesel fuel, methanol, and ammonia. Underground coal gasification can be applied to both horizontal and inclined coal
  • 44. 44 beds. Coal not recoverable by conventional mining methods, can be accessed for insitu coal gasification. Private investors can use this new technology where coal beds are thin and steeply dipping, and not economical for mining by conventional mining methods. Coal Consumptionin Pakistan(2002 –03)
  • 45. 45 Ministry of Water & Power The Ministry of Water and Power plays the lead role in the implementation of all policy pertaining to water and power issues in the country. The Ministry of Water and Power has been assigned the following responsibilities: Development of water and power resources of the country All matters relating to the 1960 Indus Water Treaty and Indus Basin Works All matters/functions relating to WAPDA Liaison with international engineering organizations in the water and power sectors, such as the International Commission on large dams, International Commission on Irrigation & Drainage, and International Commission on Large Power Systems Assistance to federal agencies and institutions for promotion of special studies in the water and power sectors All matters relating to electricity in Pakistan All matters pertaining to KESC and Pakistan Electric Agencies Limited Matters relating to National Engineering (Services) Pakistan Ltd. Matters relating to the National Tube-well Construction Corporation Matters relating to the Indus River System Authority All matters pertaining to PPIB 27
  • 46. 46
  • 47. 47 Pakistan’s per capita energy consumption is the lowest of the six most populous countries on earth (China, India, the U.S., Indonesia, Brazil, and Pakistan). U.S. per capita usage is highest, with 56.6 BOE per year, followed by China’s 9.4 BOE. But Pakistan is racing to catch up, and its energy consumption growth rate is second only to China’s. Between 2000 and 2006 its total energy consumption grew at an average yearly rate of 5.5 percent (China’s was 9.8 percent). That surge reflects the country’s booming economy. Pakistan’s G.D.P. is growing by about 6.6 percent per year. 7.2 PRODUCTION OF COAL Electricity production from coal sources (kWh) in Pakistan was last measured at 116000000 in 2009, according to the World Bank. Sources of electricity refer to the inputs used to generate electricity. Coal refers to all coal and brown coal, both primary (including hard coal and lignite- brown coal) and derived fuels (including patent fuel, coke oven coke, gas coke, coke oven gas, and blast furnace gas). Peat is also included in this category.
  • 48. 48 WORLD BANK INDICATORS - PAKISTAN - ENERGYPRODUCTION & USE 1990 2000 2010 Energyproduction(ktof oil equivalent) inPakistan 34248.0 46918.9 Electricityproductionfromcoal sources(kWh) inPakistan 38000000.0 241000000.0 Electricityproductionfromcoal sources(% of total) inPakistan 0.1 0.4 Electricityproductionfromhydroelectricsources(kWh) inPakistan 16925000000.0 17194000000.0 Electricityproductionfromhydroelectricsources(% of total) inPakistan 44.9 25.2 Electricpowertransmissionanddistributionlosses(kWh) inPakistan 7808000000.0 16546000000.0 Electricpowertransmissionanddistributionlosses(% of output) inPakistan 20.7 24.3 Electricityproductionfromnatural gassources(kWh) inPakistan 12669000000.0 21780000000.0
  • 49. 49 Electricityproductionfromnatural gassources(% of total) inPakistan 33.6 32.0 Electricityproductionfromnuclearsources(kWh) inPakistan 293000000.0 1997000000.0 Ministry of Petroleum&Natural Resources A mineral development wing has been established in the Ministry of Petroleum and Natural Resources. This organization is responsible for mineral and coal development in Pakistan. The Mineral Wing makes policies for the rapid development of minerals, including coal, in Pakistan. It collects data/information regarding Pakistan’s coal/mineral resources, which it provides to prospective investors for development and utilization. Geological Survey of Pakistan(GSP) The Geological Survey of Pakistan (GSP) is responsible for preparation of geological, geophysical and geochemical maps, and for making available geo-data required for large-scale coal and mineral exploration mapping. GSP is also responsible for exploratory drilling, sampling, analysis and estimation of reserves for coal/minerals in Pakistan. GSP performs the following functions: a. Undertakes geological, geophysical, geochemical and tectonic surveys, generates and disseminates basic data on potential prospecting areas as per priorities determined by the Mineral Investment Facilitation Authority (MIFA). b. Produces 1: 250,000 geological maps and 1: 50,000 maps of the whole country, commencing with priority
  • 50. 50 areas identified by the Provinces. c. Expedites publication of geological, geophysical and geochemical data and makes available maps thereof. d. Coal/mineral exploration is a minimal activity of GSP, merely for support to its regional surveys. e. Helps the Provinces in generating geological data. . Lakhra Coal Development Company (LCDC) LCDC is responsible for developing the Lakhra coalmines and coal-fired power plants in the public sector of Pakistan. In the first phase, LCDC supplies coal and limestone to FBC technology-based coal power plants set up by WAPDA at Khanot near Lakhra9.2.2 Sindh Coal Authority (SCA) The Sindh Coal Authority (SCA) was established in 1993 to explore, exploit, develop, and utilize the vast indigenous coal resources of Sindh. The main objective of SCA is to attract potential investors to establish integrated projects of coal-mining and coal-fired power plants in Sindh. SCA provides a one-window facility, and preliminary data required for coal mining and coal-fired power plants. SCA acts as a lead agency to perform
  • 51. 51 The total nominal power generation capacity of Pakistan as on June 30, 2011 was 23,412 MW; of which 16,070 MW (68.64%) was thermal, 6,555 MW (28.00%) was hydroelectric and 787 MW (3.36%) was nuclear.
  • 52. 52 1. Installed Generation Capacity by Source 2. Installed Generation Capacity by Sector 3. Installed Generation Capacity by Type 4. Installed Generation Capacity by System
  • 53. 53 History Pakistan Asia & Oceania World Rank Pakistan Production (1980-2012) 3.983 5,529 8,444 35 3.407 Consumption (1980-2012) 8.455 5,482 8,285 40 7.013 Net Export/Imports(-) (1980-2012) -4.472 -39 -- 27 -3.606 7.3 COMPARISON OF COAL CONSUMPTION OF PAKISTAN WITH WORLD PAKISTAN  Population 179.2 million (2012)  Electricity consumption per capital 457.81 kWh (2010)
  • 54. 54 Energy use per capita elsewhere  United States of America  7,069.33 kg of oil equivalent (2011)  Syria  1,009.35 kg of oil equivalent (2010)  Iran  2,798.28 kg of oil equivalent (2010)
  • 55. 55
  • 56. 56 8. ECONOMIC BENEFITS 8.1 BENEFITS OF INDIGENOUS COAL DEVELOPMENT It is useful to summarize the reasons for development of indigenous coal in Pakistan. In terms of energy content, Pakistan’s coal is its largest fossil energy resources. At present, these coal resources are perhaps a thousand times greater than known natural gas resources in terms of energy content and have the largest potential for continuing future electricity supplies. Although Pakistan has coal resources in all its four provinces, more than 95% are in Sindh. The development of indigenous coal will provide the following benefits.  Electricity generation at large scale and may be at low cost  Reduction of foreign exchange imbalance  Allocation of domestic natural gas for other priority industrial uses, such as petrochemical  and fertilizers  Availability of indigenous coal for making bricks, cement and smokeless coal briquettes for  domestic use to prevent deforestation  Increased employment opportunities  Self-sufficiency in energy supply  Generating revenue for economic development and poverty elimination  Development of underdeveloped areas  Development of infrastructure set-up in the country  Manufacturing of indigenous mining and power plant machinery and equipment  Transfer and adaptation of modern mining technology, gaining mechanized mining experience,  availability of trained mining personnel and development of coal-mining industry in Pakistan  Multiplier effect by creating a number of support industries and providing additional employment for skilled labor  Reduction in demand for imported fuel which drains the foreign exchange resources of Pakistan  Security from interruption of energy supplies and protection from international oil price fluctuations  Production of methanol and synthetic natural gas by coal gasification  Opportunities for foreign investment and joint venture activity in the country
  • 57. 57  Gasification including insitu gasification of coal for power generation  Extraction of coal-bed methane for power generation and other industrial use  Production of liquid fuel from coal The aforementioned benefits indicate the importance of indigenous coal development for Pakistan. These expected benefits and presence of enormous coal resources provide great opportunities for investors to invest in the coal sector as well as in the development of coal-related infrastructure in Pakistan. Prospective investors can now feel secure in investing in any large-scale coal and coal power projects in Pakistan since a sizeable market for coal and attractive incentives are available through the one-window facility provided by PPIB. Graph below show the projections about power supply and demand in the PEPCO and KESC's systems indicating that the gap between supply and demand is likely to persist over next few years. Any slippage in the addition of new generation capacity or fuel availability will further widen the gap between supply and demand Challenges inPakistan’s Power Sector  Move toward expensive power generation mix [(68.64%) → Thermal; (28.00%) → Hydro]
  • 58. 58  High distribution losses in some DISCOs  Low thermal efficiency of public sector GENCOs  Low revenue collection in distribution companies  Inability of the GOP to pass on cost of service to end consumers  Inability to recover electricity receivables from public and private sectors 9. INITIATIVE REQUIRED The Pakistani government has stated that overcoming the energy crisis in the country is a primary goal. Potential policy options include increasing imports of energy efficient items such as hybrid cars and LED bulbs, resolving the circular debt issue in the energy industry, and increasing production and imports of alternative fuel sources. A technology is also available for conversion of coal into gas, which can be used for power generation or for conversion into higher value products such as diesel fuel, methanol, and ammonia. • Thar coal project • Involve private sector • Coal based powerhouses. • Plants near coal mines to control expenses • Agreements of mega projects. • Explorations of more oil, gas and coal reserves. • Provide training to the engineer for new technology Coal and Energy Development Department gave recommendations in Pakistan Energy Conference held on April 10‐12, 2011 at Hotel Serena, Islamabad  Thar Coal as game‐changer for Pakistan
  • 59. 59  Thar Coal fields should fully exploited as an energy source because it can reduce the energy import bill by USD 600 M and direct saving of USD 280 M to electricity consumers  A comprehensive study should be done to explore the methane deposits potential in and around  A study for water deposits should be done at the fields  Should act proactively to create the enabling environment for dev local coal for long term energy solution  Government should initiate public sector projects to produce at least 5000mw from local coal  Government should make efforts to seek international financing for Thar coal based projects  Essential infrastructure should be provided to promote large scale investment in local coal at affordable rates 10. CONCLUSION This study is exploratory in nature. We have done our best to conclude and sketch up some recommendations in the light of identified hurdles in the way of implementing the appropriate solution to our problem. Our study finds some major wholes in our system if they are covered up we can not only overcome the deficiency of electricity in our systems but also we can be able to export it to our neighboring countries Whole world is facing energy crisis from decades including Pakistan as well....energy crisis setup back every country from economic development and national growth. Pakistan is rich in coal reserves which play a vital role in production of energy that is electricity used enormously in industrial as well as domestic sector. The demand for electricity is increasing day by day whereas supply is consistent. Pakistan government must work for the production of energy through coal as a cheapest raw material of production. To meet the increasing demand of electricity Government must take actions against mismanagement of policies and control over political circumstances as far as to overcome the energy crisis.
  • 60. 60 REFERENCES http://www.nmsea.org/Curriculum/Primer/forms_of_energy.htm http://www.solarschools.net/resources/pdf/Energy%20Facts.pdf http://home.clara.net/darvill/altenerg/ http://en.wikipedia.org/wiki/List_of_energy_resources http://en.wikipedia.org/wiki/Energy_crisis http://planetforlife.com/ http://theworldsenergycrisis.wikidot.com/ http://en.wikipedia.org/wiki/World_energy_consumption http://yearbook.enerdata.net/ http://www.indexmundi.com/pakistan/#Energy http://www.pide.org.pk/psde24/pdf/03.pdf http://en.wikipedia.org/wiki/Coal http://en.wikipedia.org/wiki/History_of_coal_mining http://en.wikipedia.org/wiki/Coal_mining http://www.nepra.org.pk/Policies/Coal%20Potential%20in%20Pakistan.pdf http://en.wikipedia.org/wiki/Thar_coalfield http://www.dailytimes.com.pk/business/30-Jan-2014/thar-coal-project-between-sindh-govt- engro-nawaz-for-speedy-utilisation-of-natural-resources http://www.sindhpnd.gov.pk/PressReleases/Sindh%20Dev%20ChapterWise/01- DevofTharCoal.pdf http://www.diplomaticcircle.com/September11_Articles/coal_gold_Sept11.php http://www.indexmundi.com/energy.aspx?country=pk&product=coal&graph=production+cons umption http://www.tititudorancea.com/z/ies_pakistan_coal_consumption.htm