Energy crisis is one of the biggest challenges for Pakistan. Energy plays a vital role in the economic and development progress. There has been an enormous increase in the demand for energy as a result of industrial development and population growth. Supply of energy is far less then the actual demand. If this issue is not tackled boldly, it would have serious consequence for the country.
It must be kept in mind that the present energy crisis started in 2006 when the demand overtook supply. The energy crisis has been affecting all sectors including domestic, industrial and commercial, inflicting losses with socio-economic implications both at the macro and micro levels. It is also marked by consistent power supply deficits, massive load-shedding, resource constraints as well as political interference.
The electricity demand is also on a steep rise due to urbanization, modernization and extension of grid to rural and far flung areas with a consumer base of over 19.7 million, the energy demand reached 20,000 MW during June this year against an available generation of 15000 to 15500 MW. Before the inception of the present government, not much was added in the terms of the power generation by the previous regime. The circular debt, now touching Rs 400 billion needs to be sorted out.
The debt can be overcome either by subsidies from the government or by a range of measures including decrease on dependence on furnace oil, reduction in line losses and elimination of electricity theft.
The long term resolution of Pakistans energy crisis lies in reliance on indigenous sources like hydropower, coal, wind, solar energy etc. Estimates suggest that the total identified potential for hydropower is around 40,000 MW of which only 6400 MW has been exploited so far. Coal is a key player in the energy market. The total coal resources of Pakistan are estimated to be around 185 billion tonnes. Coal can help Pakistan turnaround from its current position of energy deficiency to energy prosperity.
Nature has gifted Pakistan with a lot of resources. It is up to us to utilize these resources and channel them to our benefit. It will take time, but it can be done with the support of the government and the necessary political will. We can overcome this energy crisis as we have the expertise, manpower and the right strategy.
KHAWAJA MUHAMMAD AWAIS
UCP, Lahore
