Energy Crisis in Pakistan: Causes

and Consequences
By: Wish Maker

SYNOPSIS:
1) Introduction
2) Present energy picture of Pakistan
3) Causes behind the energy crisis in Pakistan
a. Poor energy planning
b. Non use of alternative energy resources
c. Rely on quick fixes to solve the crisis
d. Politicization of mega projects
e. Unchecked Energy theft

4) Consequences of energy crisis on Pakistan

A) Economic
Flight of capital
Shrinking Foreign Direct Investment
Closure of industry
Severe blow to agriculture sector
B) Social
Turmoil and chaos in society
Educational loss
Critical problems for health sector
C) Political
Political uncertainty
Public trust erosion

5) Turning energy around: Pragmatic steps to

solve the energy crisis in Pakistan
a. Political commitment
b. Long term energy planning
c. Use of alternative energy resources
d. Exploitation of Thar Coal on war footings
e. Up gradation and maintenance of existing power generation plants
f. Co energy production with sugar mills
g. Production of energy from solid waste
h. Energy conservation

6) Conclusion
Energy infuses life into human and business activities. It makes things possible for functioning in a constant way. It allows socio
economic development and prosperity. Its failure halts all the activities of life. Pakistan is marred by an energy crisis in spite of its
abundant natural resources. The country has failed to utilize its reserves for the enhancement of its industry and economy. The current
energy crisis has stunted the economic growth of the country. It has disturbed the peace and order of the country as reflected in violent
public protests against the long power shortages. However, Pakistan can deal with its energy crisis by investing in energy for long term
planning and efficiently using its alternative resources like wind, solar, nuclear and coal. The last mentioned has the capacity to generate
10, 0000 MW for more than 200 years.
Currently, Pakistan is capable of producing 19505 mega watts (MW) while the demand is that of 2500 megawatts, outstanding with a
deficit of 3000 MW to 6000 MW in the peak seasons. Precisely speaking, Pakistan generates 65 percent thermal power, 33 percent hydro
electricity and 2 percent nuclear energy. Keeping the present energy picture in mind, the short fall could go up to 13000 MW by
2020.There is a dire need to bridge this gap for the prosperity of the country.

There are many factors behind the energy crisis in Pakistan but poor energy planning tops the list. Subsequent regimes have dealt with
the energy sector on ad-hoc basis. The approach has been project oriented and not goal oriented. Energy sustainability and long term
planning has been an alien concept for the government. Consequently, Pakistan is crippled by an energy crisis.
Pakistan spends billions of dollars on oil export to meet its energy requirements. Little has been done to exploit its own abundant natural
resources. The non use of alternative energy resources to generate electricity is a major reason behind the energy crisis in the country.
India on the other hand, took full advantage of its natural resources. India is the 4th largest exporter of wind energy in the world.
It is natural that when things go wrong on a larger scale, quick fixes are sought to solve the crisis. This is what exactly has happened in
Pakistan. The short term measures like Independent Power Producers (IPPs) and Rental Power Producers (RPPs) is a case in point that
has been attempted at solving the energy crisis in Pakistan. Such short term solutions will not address the energy crisis permanently.
Moreover, the tariff structure of electricity produced from IPPs and RPPs is very high which adds to the miseries of a common man. This
is a move taken in panic which is further worsening the situation. It is against the energy sustainability of the country.
The politicization of mega power generation projects is yet another factor behind the worsening energy crisis in Pakistan. The paramount
example is that of Kala Bagh Dam. Studies have found that the project has been put on the back burner due to certain ethnic and
political reasons. The politicians need to realize that using the Kala Bagh for political point scoring will not serve anyones purpose except
pushing the economy of the country to the wall.
Last but very important factor behind the current energy crisis in Pakistan is unchecked energy theft. Every year energy producing
companies have to bear a massive loss due to electricity theft. The thieves use unmetered electricity lavishly. The stolen energy directly
contributes to the disruption of power supply to the registered users. This practice must be abandoned.
The energy crisis has many economic, social and political consequences for Pakistan. In the economic field, the flight of capital is most
obvious. The current power crisis has badly damaged the industrial sector of the country. The industrialists are compelled to shift their
industrial units from Pakistan to other countries especially, Bangladesh. The flight of capital is directly hitting the economic growth of the
country.
Foreign Direct Investment (FDI) is considered a very important factor in the sustainability of the economy of a country. But due to
energy crisis in Pakistan, it is rapidly shrinking. Foreign investors have ceased to invest in Pakistani market.
The current energy crisis has severely affected the industrial sector of the country. Thousands of industrial units are being shut down due
to unavailability of electricity to run the units. It has disastrous impact on the economy of the country. Nationally, more and more people
are falling into the poverty pool and internationally, the image of the country is being tarnished as the producers are unable to export
their goods on time.
Agriculture sector contributes 23 percent to the GDP of the countrys economy. It has been badly hit by the current power crisis. The
countrys agriculture sector mainly depends upon the conventional methods of irrigation like tube wells. The tube wells are not working
due to the unavailability of energy which is halting the irrigation process. The use of urea and pesticides is essentially important for high
crop yield. The pesticides and urea making factories are being closed down. Resultantly, country has to import these items to meet the
indigenous need. But, high prices make them out of the farmers reach. No use of pesticides and urea means poor crop yield. In short,
the agriculture sector is in doldrums due to the current energy crisis in the country.
The energy crisis has many social repercussions also. It has disturbed the peace and order of the country. The violent public protests are
visible due to extended power shortages in the country. The protesters damage the public property and create law and order situation in
the country. This practice portrays a very negative image of the country in the international media. The education and health sector are
also suffering from the current energy crisis in Pakistan.
The energy crisis has a potential to destabilize the political structure of the country as well. It has created political uncertainty in the
country. The trust of the masses in their representatives is subsequently eroding. The public has realized that the sitting government has
been unable to solve the issue. This disenchantment has made the masses think to vote out the ruling political party in the next public
elections.
Despite the gloomy situation, Pakistan can deal with its energy crisis. What is needed is political commitment and honest will of those at
the helm of the affairs. Our leaders should realize that energy crisis can never be solved through ad-hoc base solutions. They should
chalk out an energy planning and invest in the energy sector for long term gains.
The exploitation and use of alternative energy resources like wind, tidal, nuclear and solar should be made priority number one. The
exploitation of Thar coal mines should be done on war footings. Thar coal has the capacity to meet the energy requirements of Pakistan
for next 200 years. According to the Thar coal project head Dr. Samar Mubarik Mand,
Pakistan has no reason to stay poor after the
cheap generation of electricity and oil from
Thar coal. The need of the hour is to focus on
men power and financial reasons for the exploitation of this great gift of God to Pakistan.
Similarly, up gradation and maintenance of existing power plants, co energy production with sugar mills, production of energy from solid
waste and energy conservation will go a long way in solving the energy crisis of Pakistan.
To conclude, the energy crisis lies at the heart of multiple challenges faced by Pakistan. It is the result of years bad planning and
mismanagement of natural resources. It has disastrous social, economic and political repercussions for Pakistan. The time has come that
our political leadership should leave the petty politics of non issues and concentrate on real issues. The policy makers at Islamabad need
to realize that more than the suicide bombers, more than sectarian violence in the country; it is the energy crisis that threatens the

country. It must be solved as soon as possible. Pakistan is blessed with an abundant wealth of natural resources which have every
possibility to turn the energy around in the country. It is hoped that every effort will be made to exploit these natural gifts of God to
Pakistan. A peaceful, prosperous, economically stable and of course, an energy sufficient Pakistan is not far away.