M.Asad Ali MirzaM.Asad Ali Mirza

March 2010March 2010

Institute Of Institute Of Management and Management and Sciences,Sciences,

Lahore PakistanLahore Pakistan

ContentsContents IntroductionIntroduction ObjectivesObjectives Energy Resources of Pakistan.Energy Resources of Pakistan. Ten year of Energy Consumption.Ten year of Energy Consumption. Causes of Energy Crisis.Causes of Energy Crisis. RecommendationsRecommendations ConclusionConclusion

IntroductionIntroduction Energy has become an important Energy has become an important

requirement for the economic requirement for the economic development of a country.development of a country.

It plays a pivotal role in the socio-It plays a pivotal role in the socio-economic development of any country.economic development of any country.

Uses:Uses: industrial and agricultural purposesindustrial and agricultural purposes domestic use of the citizensdomestic use of the citizens

ObjectivesObjectives Why Pakistan is facing such a huge Why Pakistan is facing such a huge

energy crisis of its history?energy crisis of its history? What are the reasons behind this crisis?What are the reasons behind this crisis? Why Pakistan cannot able to utilize its Why Pakistan cannot able to utilize its

natural resources?natural resources? If Pakistan has abundance of coal then If Pakistan has abundance of coal then

why Pakistan importing coal?why Pakistan importing coal? Why half of the Pakistani population has Why half of the Pakistani population has

no access to electricity?no access to electricity?

Energy Resources of PakistanEnergy Resources of Pakistan

Energy TypeEnergy Type PotentialPotential SourceSource

Crude OilCrude Oil 339 million barrels recoverable 339 million barrels recoverable reservesreserves

Pak Eco Survey 2008-09Pak Eco Survey 2008-09

Natural GasNatural Gas 31,266 trillion cubic feet recoverable 31,266 trillion cubic feet recoverable reserves.reserves.

Pak Eco Survey 2008-09Pak Eco Survey 2008-09

CoalCoal 185 billion tones recoverable 185 billion tones recoverable reserves.reserves.

Pak Eco Survey 2008-09Pak Eco Survey 2008-09

Hydro EnergyHydro Energy 46,000 MW identified potential.46,000 MW identified potential. Govt. of Pakistan 2008Govt. of Pakistan 2008

Nuclear PowerNuclear Power Nuclear power of capacity 425 MWeNuclear power of capacity 425 MWe World Nuclear World Nuclear Association2008Association2008

Pakistan Renewable Energy Pakistan Renewable Energy ResourcesResources

1.1. Wind Energy.Wind Energy.

2.2. Solar Energy.Solar Energy.

3.3. Bio-mass and Bio-Fuels.Bio-mass and Bio-Fuels.

4.4. Geo-Thermal Energy.Geo-Thermal Energy.

Ten Years of Energy Ten Years of Energy ConsumptionConsumption

Energy Consumption by source 2008-09

Energy Consumption by source 1998-99

Ten Years of Energy Ten Years of Energy ConsumptionConsumption

In 2009 Pakistan consumed up to 60.388 In 2009 Pakistan consumed up to 60.388 MTOE of energy in which 19.835 MTOE MTOE of energy in which 19.835 MTOE was imported in form of Oil and Coal .was imported in form of Oil and Coal .

Relying heavily over imported oil and Relying heavily over imported oil and coal and shortage of natural gas in coal and shortage of natural gas in future will certainly chock the economic future will certainly chock the economic growth for many years.growth for many years.

Causes of Energy CrisisCauses of Energy Crisis 1. Economic and Political instability.1. Economic and Political instability.

Effects our GDP & Energy growth…Effects our GDP & Energy growth… 2. Fluctuation of oil prices in international market.2. Fluctuation of oil prices in international market.

WAPDA & KESC purchase expensive oil and transfer WAPDA & KESC purchase expensive oil and transfer cost to customers…cost to customers…

3. Faulty Distribution System.3. Faulty Distribution System. We waste 15 to 20 percent energy We waste 15 to 20 percent energy

through poor distribution system…through poor distribution system… 4. Aging of equipment.4. Aging of equipment.

Unable to generate required electricity…Unable to generate required electricity… 5. Unproductive efforts.5. Unproductive efforts.

Seminars & conferences but no implementation…Seminars & conferences but no implementation… 6. Silting Process6. Silting Process..

It is a naturally caused process which It is a naturally caused process which reduces the storage capacity of reservoirs...reduces the storage capacity of reservoirs...

7. Mismanagement of energy resources.7. Mismanagement of energy resources. Lack of technical knowledge and equipment Lack of technical knowledge and equipment

to utilize existing resources...to utilize existing resources...

Silting ProcessSilting Process “ “ It is a slow and continuous process, which has It is a slow and continuous process, which has

reduced the storage capacity of Tarbela and Mangla reduced the storage capacity of Tarbela and Mangla dams considerably”dams considerably”

((Institute for Defense Studies & Analysis)Institute for Defense Studies & Analysis) “ “ It is the process, which is naturally caused, and It is the process, which is naturally caused, and

influenced, one which initiates when the river is influenced, one which initiates when the river is dammed and ends when the reservoir basin is dammed and ends when the reservoir basin is

practically filled with sediments.”practically filled with sediments.”

“ “ It is reducing the storage capacity of the world’s It is reducing the storage capacity of the world’s reservoirs by more than 1% par year.”reservoirs by more than 1% par year.”

Silting and Desilting of ReservoirsSilting and Desilting of Reservoirs (Dan G Batuca and Jan M. Jordaan Silting Process)(Dan G Batuca and Jan M. Jordaan Silting Process)

RecommendationsRecommendations

To overcome present energy crisis, Pakistan To overcome present energy crisis, Pakistan needs to take following steps in form of:needs to take following steps in form of:

1.1. Short Term Plan.Short Term Plan.

2.2. Medium Term Plan.Medium Term Plan.

3.3. Long Term Plan.Long Term Plan.

Recommendations

1. Short-term Plan:

1. Increase the number of IPPs (Independent Power Producers).

2. Reactivate the closed power generating units.

3. Overhaul the existing poor distribution system.

4. Import electricity to fulfill the current need for industries on ad hoc basis.

5. Government should have strict check on energy indicators on regular basis to counter such crisis in future.

RecommendationsRecommendations

2. Medium-term Plan:2. Medium-term Plan:

1. Transformation of existing system to 1. Transformation of existing system to renewable energy resources.renewable energy resources.

2. Developing and installing biogas, solar, wind 2. Developing and installing biogas, solar, wind and micro hydro based projects in villages.and micro hydro based projects in villages.

RecommendationsRecommendations

3. Long-term Plan:3. Long-term Plan:

1.  Developing and installing coal based powerhouses.1.  Developing and installing coal based powerhouses.

2.   Initiate agreements for mega projects with the 2.   Initiate agreements for mega projects with the energy extensive countries for sustainable energy energy extensive countries for sustainable energy resources.resources.

3.  Explorations of more oil, gas and coal reserves.3.  Explorations of more oil, gas and coal reserves.

4. Provide incentives for up-gradation and training to the 4. Provide incentives for up-gradation and training to the engineer for new technologyengineer for new technology

ConclusionConclusion

1.1. This study recommends Government of This study recommends Government of Pakistan to take strong steps to overhaul its Pakistan to take strong steps to overhaul its existing infrastructure and transformed it to existing infrastructure and transformed it to utilize renewable energy for future needs.utilize renewable energy for future needs.

2.2. Government should also take steps to utilize Government should also take steps to utilize the coal reserves though it will give us the coal reserves though it will give us energy for next 25 years.energy for next 25 years.

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