The government is developing a virtual grid system that would allow consumers to generate and store electricity as Pakistan prepares for what the energy minister described as a “battery revolution” in the power sector.
Federal Minister for Energy Awais Leghari said regulations for virtual grids were under development and were expected to be finalised by the last quarter of the current fiscal year. The government has also directed power distribution companies (Discos) to install grid batteries as part of efforts to expand energy storage and improve the electricity system.
“A battery revolution is coming to Pakistan,” Leghari said, adding that the government wanted to increase the use of batteries across the power sector.
The plans were disclosed following a meeting of the National Assembly Standing Committee on Power, where prolonged electricity load-shedding and the performance of the distribution system came under discussion.
Leghari said load-shedding was currently being carried out on around 3,500 of Pakistan’s 14,500 electricity feeders due to power theft and line losses.
He maintained that no additional load-shedding was taking place, saying other outages were mainly caused by technical faults resulting from overloading of the system.
The government plans to shift load-shedding controls from entire feeders to individual transformers within a year, allowing electricity supply to be managed more selectively rather than shutting down a complete feeder.
An on-off control system is being introduced for around 190,000 transformers. According to the minister, consumers who regularly pay their electricity bills would not be affected by the new system.
The planned upgrades would require significant investment, for which approval would be sought from the National Electric Power Regulatory Authority (Nepra).
The minister also linked some recent power-sector pressures to disruption in energy supplies following the closure of the Strait of Hormuz, which he said had affected the Petroleum Division’s ability to receive LNG cargoes.
As a result, the government has had to use locally produced gas for electricity generation.
According to Leghari, a gas cargo that previously cost around $30 million now costs more than $95 million, increasing pressure to reduce fuel costs.
He said load-shedding had been carried out during peak hours to save fuel costs, arguing that otherwise consumers could face an additional electricity cost of around Rs6 to Rs6.50 per unit.
The minister also rejected reports that the government had entered into any new agreements with Independent Power Producers (IPPs).
During the committee meeting, lawmakers criticised continued load-shedding and electricity prices, with concerns also raised over the impact of government power-sector policies on consumers.
Leghari rejected criticism that power policies were primarily being shaped to meet International Monetary Fund requirements, challenging lawmakers to substantiate the claim.
