Govt’s Plan for a Stable Future: Power Crisis & Reforms
The government says it faced no outside pressure while negotiating with Independent Power Producers (IPPs). Power Secretary Fakhar Alam Irfan told the National Assembly’s Power Committee that some IPPs broke rules.
The committee criticized Lahore Electric Supply Company (LESCO) for poor performance and electricity theft. It also questioned why 7.8 million extra units were charged to Kasur consumers. A four-member team will investigate and report in 30 days.
LESCO lost Rs83 billion last year, while PESCO lost Rs130 billion due to unpaid bills and power theft.
MQM’s Mustafa Kamal asked why people hadn’t benefited from new power deals. The secretary said relief would come soon. He also denied pressure on IPPs and said the government refused to take disputes to a London court.
Pakistan plans a 1,000-megawatt battery storage project to store wind energy, costing $500 million. Talks are ongoing with global banks for funding.
The Jamshoro coal power plant needs Rs12.93 billion to complete. It runs on imported coal, but the government is expanding the Thar coal mine and building a railway to Port Qasim for local coal use.
Electricity costs per unit:
- Oil: Rs35
- Imported coal: Rs16
- Local coal: Rs4
The government plans to shut down oil-based power plants in 3-4 years.
To improve the system, the government is introducing multiple power sellers and buyers. A new company, ISMO, is being set up, and a new policy will launch by March.
