1. Load shedding in Pakistan Reasons & Remedies February 9, 2009 By Muhammad Ziauddin

2. Organization  Historical Background  Load duration curve  Capacity, capability & availability  Shortage  Reasons  Remedies / Suggestions

3. Historical Background  Pre 1994 era  Sever load shedding  Post 1994 era  Surplus power in the system  2002 Power Policy  Lengthy procedure –Approval of feasibility –Tariff negotiation & approval – Security packages  High load growth

4. Current Situation  Supply / Demand Balance  Load duration curve  Capacity, Capability and Availability  Demand  Supply

5. Power Supply/Demand Balance

6. Load Duration Curve 18th August 2007

7. Load Duration Curve 21st August 2008

8. Load Duration Curve 10th January 2007

9. Load Duration Curve 23rd January 2008

10. Reasons  Late finalization of 2002 power policy  Late initiation of new projects  Long processing time  Not soliciting new power plants  Reliance of unsolicited proposal  WAPDA was not allowed to install thermal power plants  Private sector started taking advantages  Availability of machines in the international market

11. Reasons (contd)  No serious efforts on effeciency improvement and energy conservation  Time of day metering system is not up to its strength  Hydropower not comming up  Small hydro power plants are not being taken up by WAPDA  Closure of some IPP & WAPDA‘s power plants  Not payment of fuel bills to fuel suppliers

12. Reasons (contd)  International investors are not comming with enthusiasm  International recession  Governace issue  No serious efforts to exploit alternative energy resources  Huge reserve of coal is not being used

13. Issues  Most of the new thermal power plants are based on fuel oil  Cost of electricity generations  Fuel imports – major implecations on forx reseve  Volatility of crude oil prices  Fuel transporation and import infrastructure  Road / railway network  Port facilities

14. Issues (contd)  Gas is not available for new power plants  Un efficient energy useage  No incentive from the government to develop alternative energy resources  Rental power plant is sucidal

15. Remedies / Suggestions  Development of alternative energy  The Regulator should be linient in tariff for wind and solar power plants  Manufacturing facility for wind and solar power plants be encouraged by the government  Coal should be used for power generation including imported Coal  Thermal power plants should be installed by WAPDA in parllel to IPPs  More emphasis should be on energy conservation and efficiency improvement

16. Remedies / Suggestions (contd)  Time of day tariff should be implemented in all catagories of consumers  A digonostic study should be conducted for oil transporatation infrastructure and port facilities  Captive power plant should brougt on bar  Industrial sector should be encouraged to install their own power plants and surplus should be purchased by WAPDA at a competitive price

17. Thanks