Pakistan is struggling with a severe energy crisis as energy demand continues to rise while the supply of conventional energy sources remains insufficient. As the gap between energy supply and demand widens, the nation faces surging power costs and increased reliance on imports, according to Geo News.
In October 2023, Pakistan had an energy deficit of 6,000 megawatts, incurring an import bill of USD 7 billion. The National Electric Power Regulatory Authority’s (Nepra) 2022 annual report states that Pakistan’s installed generation capacity is 43,775 MW, with only 7% derived from renewable energy sources.
Addressing this crisis requires strategic investments in renewable energy infrastructure and comprehensive policy reforms to ensure a sustainable energy supply for the country’s future.
The roots of Pakistan’s energy crisis date back to the 1970s when the country avoided a major energy crisis through the launch of the Mangla and Tarbela dams. These projects provided robust hydro-driven energy generation that met the nation’s demands at that time.
However, the 1980s saw a surge in energy demand due to strong economic growth. Despite government efforts to increase generation, these efforts failed to keep up with the escalating demand. Pakistan’s energy crisis is primarily driven by heavy reliance on non-renewable and expensive fossil fuels, which make up 59% of the energy mix, according to Geo News.
This dependence is exacerbated by outdated transmission lines, infrastructural flaws, and issues such as line losses, power theft, and inefficient energy usage. The energy infrastructure is also overburdened by overpopulation, rapid urbanization, and industrialization.
A report by the World Bank projects that Pakistan’s energy demand will increase by 70% by 2030, while supply is expected to grow by only 45%.
To address the energy crisis, a multifaceted approach is needed. The country must diversify its energy mix by investing in renewable sources such as solar, wind, and hydropower. Given that only 7% of Pakistan’s energy comes from renewables, increasing this share is crucial. This transition will reduce dependency on expensive fossil fuels and align with global trends toward sustainable energy.
Expanding and upgrading the transmission infrastructure and addressing corruption and inefficiencies within the generation and distribution companies (Gencos and DISCOs) are also essential, Geo News reported.
The situation has become so dire that PML-N patron Nawaz Sharif himself lamented the state of affairs. “Electricity bills become a trouble for everyone, not only for poor people but for everyone,” he said. Nawaz Sharif claimed that his government “eliminated loadshedding and controlled electricity rates.”
“The decision-makers will have to think now and care about our people,” he added. Nawaz Sharif has urged the Shehbaz Sharif-led administration to “do everything to provide relief to the masses.”
(With ANI Inputs)
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