ENERGY CRISIS & ITS EFFECTS

ON PAKISTAN’S ECONOMY

CONTENTS

Introduction Energy consumption Some questions Energy Resources of Pakistan Effect on economy Objective SWOT analysis Recommendations Conclusion

INTRODUCTION

An Energy Crisis is any great shortfall in the supply of energy to an economy

It usually refers to the shortage of oil, electricity or other natural resources

ENERGY CONSUMPTION

Industrial and agriculturalpurposes

Domestic use of the citizens

SOME QUESTIONS

Crisis of its history? Reasons? Utilization? Pakistan importing coal? Access to electricity?

ENERGY RESOURCES OF PAKISTAN

Energy Type Potential Source

Crude Oil 339 million barrels recoverable reserves. Pak Eco Survey 2010-11

Natural Gas 31,266 trillion cubic feet recoverable reserves. Pak Eco Survey 2010-11

Coal 185 billion tones recoverable reserves. Pak Eco Survey 2010-11

Pakistan’s Conventional Energy Resources

Pakistan’s Renewable Energy Resources1. Wind Energy2. Solar Energy3. Bio-mass & Bio-fuels

Energy crisis badly effects Education

Great effect on Industries Effects on Economy Higher electricity prices Effect on agriculture Unemployment increased

Effects on economy

IMPACT ON SOCIETY

Imported oil and coal and shortage of natural gas increase prices

Less agriculture yields

Dependent on other countries

OBJECTIVE

Use own resources

Import electricity from China

SWOT ANALYSIS

STRENGTH WEAKNESS

Government import and increase taxes to generate revenue.

Explorations of more oils, gas and coal reserves

Conservation of

energy resources

Industries destroyed

Lack of investor

Economy slowdown

Recession

Unemployment

increases

SWOT ANALYSIS

OPPORTUNITIES THREATS

Increase the number of IPPs (Independent Power Producers).

Monopolistic environment

Profitable for some business like generator, ups

Protest of general public

Vulnerabilities leading toward political instability

Lack of new projects but just seminars only

People buying power decreases

RECOMMENDATIONS

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

of:

1. Short Term Plan

2. Medium Term Plan

3. Long Term Plan.

RECOMMENDATIONS

1. Short Term Plan

2. Medium Term Plan

3. Long Term Plan

Overhaul the existing poor distribution system

Import electricity

Government should have strict check

RECOMMENDATIONS

1. Short Term Plan

2. Medium Term Plan

3. Long Term Plan

Transformation of existing system

Developing and installing solar, wind projects in villages

RECOMMENDATIONS

1. Short Term Plan

2. Medium Term Plan

3. Long Term Plan

Installing coal based powerhouses

Initiate agreements for mega projects

Explorations of more oil, gas and coal reserves

CONCLUSION

This study recommends Government of Pakistan

to take strong steps to overhaul its existing

infrastructure and transformed it to utilize

renewable energy for future needs.

Government should also take steps to utilize the

coal reserves though it will give us energy for next

25 years.