Dubious
RETIRED MOD
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KARACHI: Pakistan has spent $5.806 billion of foreign reserves to import power-generating machinery in the last five years, which is almost equal to the projected cost of 3,600 Megawatts’ capacity Kalabagh Dam (KBD).
According to the figures of Pakistan Bureau of Statistics (PBS), during the past five fiscal years, Pakistan has imported almost $6 billion worth of power generation machinery.
Due to unending energy crises in the country, Pakistan is continuously spending its precious foreign reserves on importing power-generating machinery while the energy shortage continues to be there for the last ten years.
It was estimated in 1998 that the dam would take 7 years for the first power unit to come in to operation, so, if KBD would have been built, Pakistan could saved the said amount, but the dam has been politicised by some factions of the political parties which is adversely impacting the trade deficit.
The imports of power-generating machines have jacked up by around 27% to $1.38 billion in fiscal year 2014-15 (FY15) as against $1.09 billion in FY14. The increase in import took place due to continuously power shortfall that is still hovering between 4,000 megawatts (MW) to 5,000 MW during the outgoing fiscal.
Unprecedented climate changes in Pakistan this year have deepened the existing energy crisis, as increased electricity demand due to sultry weather condition across the country escalated power shortfall.
In the month of June, when the electricity demand doubled due to heatwave, Pakistani imported $171.82 million worth power-generating machinery which was 73% more if compared to the value of $102.92 million machinery imported in June 2014.
Power generation machinery import bill increased by 66% in June, when compared to $104.15 million in May.
Analysts believe that the situation is getting worse day by day as due to rising temperature and population, the demand of electricity has been increasing but the government is still depending on installed capacity which may lead to severe breakdowns in future as witnessed in Ramazan.
The experts have said that KBD would guarantee sufficient and cheap electricity as thermal power costs Rs16 per unit, whereas hydel power costs Rs 2.5 to Rs 3 per unit.
The KBD would have the capacity of generating 3,600MW electricity that would save $4 billion annually for the country, excluding the 30% line losses.
The KBD project site is located 210 km downstream of Tarbela Dam and 26 km upstream of Jinnah Barrage on the River Indus. The total project cost at June 1998 price level, including contingencies, price escalation and interest during construction, was estimated as $ 5.70 billion.
Pakistan spends Rs 5.8bn on energy, equivalent to KBD cost
According to the figures of Pakistan Bureau of Statistics (PBS), during the past five fiscal years, Pakistan has imported almost $6 billion worth of power generation machinery.
Due to unending energy crises in the country, Pakistan is continuously spending its precious foreign reserves on importing power-generating machinery while the energy shortage continues to be there for the last ten years.
It was estimated in 1998 that the dam would take 7 years for the first power unit to come in to operation, so, if KBD would have been built, Pakistan could saved the said amount, but the dam has been politicised by some factions of the political parties which is adversely impacting the trade deficit.
The imports of power-generating machines have jacked up by around 27% to $1.38 billion in fiscal year 2014-15 (FY15) as against $1.09 billion in FY14. The increase in import took place due to continuously power shortfall that is still hovering between 4,000 megawatts (MW) to 5,000 MW during the outgoing fiscal.
Unprecedented climate changes in Pakistan this year have deepened the existing energy crisis, as increased electricity demand due to sultry weather condition across the country escalated power shortfall.
In the month of June, when the electricity demand doubled due to heatwave, Pakistani imported $171.82 million worth power-generating machinery which was 73% more if compared to the value of $102.92 million machinery imported in June 2014.
Power generation machinery import bill increased by 66% in June, when compared to $104.15 million in May.
Analysts believe that the situation is getting worse day by day as due to rising temperature and population, the demand of electricity has been increasing but the government is still depending on installed capacity which may lead to severe breakdowns in future as witnessed in Ramazan.
The experts have said that KBD would guarantee sufficient and cheap electricity as thermal power costs Rs16 per unit, whereas hydel power costs Rs 2.5 to Rs 3 per unit.
The KBD would have the capacity of generating 3,600MW electricity that would save $4 billion annually for the country, excluding the 30% line losses.
The KBD project site is located 210 km downstream of Tarbela Dam and 26 km upstream of Jinnah Barrage on the River Indus. The total project cost at June 1998 price level, including contingencies, price escalation and interest during construction, was estimated as $ 5.70 billion.
Pakistan spends Rs 5.8bn on energy, equivalent to KBD cost