Year: 2022

 Competitive bidding for new power capacity in Pakistan has yet to be implemented, delaying the expected benefits to consumers in terms of lower generation costs and the much-needed transition to a more secure, sustainable, and affordable electricity sector, says the World Bank. The bank in its latest report “Pakistan Sustainable Energy Series, Variable Renewable Energy Competitive Bidding Study” stated that based on the government’s current projections, Pakistan will need to carry out competitive bidding for more than 11 GW of solar and wind power capacity between now and 2028, starting…

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The Petroleum Division has arranged 281,000 MMT furnace oil for May 2022 for the power sector to be supplied till May 24, 2022, fearing that supplies can be disputed during the first week of May due to the Eid holidays. On April 23, 2022, Power Division sent the revised plant-wise demand for furnace oil for the month of April, and May 2022. According to the Directorate General of Oil (Petroleum Division), the matter was consulted with PSO, APL and BE, being the major suppliers of RFO to the power sector.…

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Power Division has sought additional resources of Rs 329 billion from the Finance Ministry to deal with load shedding, ranging from 8-14 hours a day across the country, as 5,739 MW electricity is not in the system due to unavailability of fuel. Of Rs 329 billion, Power Division has sought Rs 108 billion by May 25, 2022, Rs 136 billion by June 7, 2022 and Rs 85 billion by June 15, 2022. The circular debt has already crossed Rs 2.460 trillion. “Power plants of 5,739 MW are available but they…

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Pakistan must pursue its indigenous coal objective for its long-term strategic energy security. The utilisation of the massive lignite reserves of 175.5 billion tonnes, the world’s sixth largest and equivalent to combined oil reserves of Iran and Saudi Arabia, found in Sindh’s Thar region in place of the expensive, imported fuels — coal, furnace oil, and RLNG (re-gasified liquefied natural gas) — for electricity generation is crucial to Pakistan’s economic ambition to achieve higher growth, boost exports and create new jobs through industrialisation. Besides, the displacement of imported fuels with…

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