Home Opinion Op-Ed Modernizing the power sector of Pakistan

Modernizing the power sector of Pakistan

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Muhammad Dawood Sheikh |

To curb the $18 billion annual loss to Pakistan’s economy due to the inefficient power sector, the government should drastically modernize the existing outdated electricity deliverance system, replace fossil fuel power generation with clean power generation technologies and build the capacity of the officials, dealing with power sector to tackle mismanagement.

In Pakistan, transmission system does not have the capacity to transmit the electricity because of three main reasons; (i) there is no integrated planning which results in electricity loss (ii) the network is outdated and (iii) there is utter lack of maintenance. Upgradation of the network is essential to upgrade the country’s dilapidated transmission network. The government should adopt viable “Power-Strategy” to modernize the power sector.

The private sector is an integral part and could play a vital role in modernizing the power sector of Pakistan. Public-Private Partnerships are inevitable to strengthen the power sector.

Following steps falls under the power-strategy.

  • The government should hone modernizing capabilities by incorporating information and communication technologies across a variety of new and existing controls, sensors, and software systems. Modern grid, or smart grid, investments can enable grid operators to respond faster to changes in grid conditions and allow for two-way communication between utilities and electricity end-users.
  • The government should install Smart meters to support other energy efficiency efforts and reduce consumption. Modern electricity delivery technologies may increase the energy efficiency of the overall electricity system by reducing energy losses along transmission and distribution lines and delivering higher quality electricity to industry, businesses, and homes. Digital information used by modern grid technologies may be stored in data centers, which use energy to run computers and to provide cooling. Increased energy demands can be mitigated by using more energy-efficient network equipment and building systems.

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  • Government shall import the expertise and technology from other countries to realize the aim of modernizing the power sector. CPEC (China Pakistan Economic Corridor) pledge of $36 billion in the energy sector and World Bank’s $426 million investment to upgrade transmission network are instrumental in upgrading our power system.
  • Integrated experience and exposure of SAARC energy center could be utilized to formulate a new power-policy to be implemented vigorously. Policy makers need to get involved.
  • The private sector is an integral part and could play a vital role in modernizing the power sector of Pakistan. Public-Private Partnerships are inevitable to strengthen the power sector.
  • Pakistan’s government should prioritize the power sector to transform it into a clean energy revolution. The clean energy industry generates hundreds of billions in economic activity and is expected to continue to grow rapidly in the coming years. Responsible development of all rich energy resources including solar, wind, water, geothermal, bioenergy & nuclear will help ensure Pakistan’s continued growth in clean energy.

Read more: Reviving the ‘loss-making’ public sector enterprises

Thus, capital injection in the transmission system is necessary so as to revamp the power sector. In order to implement the aforementioned, a viable monitoring and transparency mechanism is indispensable for the power sector of Pakistan. Therefore, it will not only fix the problem but also help us to achieve Pakistan’s target to reduce 20 percent of its 2030 projected Green House Gas (GHG) emissions under Article 2 of the Paris Agreement, to the United Nations Framework Convention on Climate Change (UNFCC).

Muhammad Dawood Sheikh is an award-winning social entrepreneur. The views expressed in this article are author’s own and do not necessarily reflect the editorial policy of Global Village Space. 


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