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Pakistan's Energy & Water - News and Updates

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A 40 MW Coal Fired project is just been completed some days ago in Faisalabad.

40 Mw plant good but i hope it doesn't become like Nandipur.

besides we need a major project something that can produce 1500+ MW of energy.
 
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40 Mw plant good but i hope it doesn't become like Nandipur.

besides we need a major project something that can produce 1500+ MW of energy.

Bro its completed so can't become Nandipur. Beside it was a Private partnership project undertaken by a textile firm so i hope nothing bad will happen to it.

Have Faith8-)
 
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Ending Pakistan Blackouts Key to Unlocking $5 Billion Inflow



Kamran Haider

August 22, 2016 — 2:00 AM PKTUpdated on August 22, 2016


Energy shortages stalling new foreign inflows: PM aide

Nissan in talks with government to revive assembly plant

Pakistan is targeting a fourfold jump in foreign direct investments betting that new power plants coming online will end energy shortages that have stalled inflows into the nation, according to an aide to Prime Minister Nawaz Sharif.

The government forecasts investments will jump to $5 billion in the year starting July 1, 2017, from $1.28 billion in the last fiscal year, said Miftah Ismail, who is also chairman of the nation’s Board of Investment. Direct foreign investment levels have remained flat in the past three years since Sharif took a $6.6 billion of loan from the International Monetary Fund to avert a balance-of-payments crisis.

Pakistan is still stymied by power cuts even as Sharif’s administration is on course to complete the IMF loan program next month. With economic growth around an annual 5 percent, the government is now targeting a 7 percent rate by 2018 helped by China’s plans to invest about $46 billion in investment

“If you don’t give them gas and electricity, how they will run their machines?” Ismail said in an interview at his office in the capital Islamabad. “Once that energy is given you’ll see a lot of foreign investment and industry.”


Currently Pakistan’s average electricity and gas shortages stand at 4,000 megawatts and 2.5 billion cubic feet per day. As part of the IMF program, Sharif has committed to privatizing power distribution companies in a bid to improve efficiency and cut losses in the energysector. His administration has also pledged to add 10,000 megawatts to the national grid by end of the government’s term in 2018.

Despite the energy deficit, Ismail pointed to Pakistan’s growing car market as an example of investment interest. The government is expecting a new automobile company to start manufacturing in the country next year, he said.

Net inflows totaled $3.8 billion in three years since July 2013, the same amount as the preceding three years, according to central bank data.

Ismail is hoping that bridging the energy gap as new power plants add to the national grid will bring that figure to close to an annual $5 billion by the next fiscal year starting July 2017. However, that target may be too ambitious, said Muzaffar Ali Isani, an economics professor at Iqra University in Karachi.

Nissan Talks

“I don’t think it’s realistic,” Isani said by phone from Pakistan’s coastal commercial hub. “$5 billion foreign direct investment takes a while to be activated, foreign direct investment takes a lot of planning. Foreign direct investment doesn’t just come in. It’s in the works for a while before it enters the economy.”

Nissan Motor Co. and Ghandhara Nissan Ltd. are in talks with Sharif’s administration to revive assembling plant, he said. Pakistan’s automobile market is traditionally dominated by three Japanese car manufactures - Honda Motor Co., Toyota Motor Corp. and Suzuki Motor Corp.

Car sales in a country of more than 200 million people grew by 19 percent to 180,079 vehicles in last fiscal year, the highest since 2007, according to thePakistan Automotive Manufacturers Association.

“Pakistan is really ready to take off in term of cars being purchased,” Ismail said. “We are small car market so far, but it’s a market to grow.”

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PakistanForeign Direct InvestmentEnergyPower Plants
 

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http://www.dawn.com/news/1283494/power-generation-off-course

Power generation off course
NASIR JAMAL


The Nawaz Sharif government’s plan to end rolling power blackouts from the country — especially from its powerbase, Punjab — through new build-ins and plant conversions before the next elections is feared to have gone off course.

Several projects may miss their deadlines, original and revised, for one reason or the other.

The feared delay in the completion of the projects is naturally making the government anxious, and its nervousness was recently betrayed by the sudden resignation of previous Wapda chairman Zafar Mahmood followed by Neelum Jhelum Hydropower Project chief executive officer Mohammad Zubair.

“Unless the government addresses the real issues facing the power sector, it will only be inflating its problems by adding more generation to the system”

As if these resignations were not enough to convey the government’s anxiety, the statement by Shamsuddin Sheikh, chief executive of the Sindh Engro Coal Mining Company - a joint venture of the Sindh government and Engro Powergen building 6x660MW coal-fired power stations in Thar - that the government was putting pressure on them for moving forward the deadline for their first unit before the elections, which are two years from now, was indicative of the growing desperation of the authorities to deliver on their promise.

The company said its first unit will not become operational in early 2019.

The PML-N government has implemented several initiatives, including payment of unpaid bills of Rs480bn to the power producers and fuel suppliers besides exorbitantly increasing electricity prices (to recover cost of generation), launching new generation projects and improving the transmission and distribution network; in order to eliminate blackouts ever since it returned to power for the third term in 2013.

Currently, the government is targeting plant conversions (including conversion of Guddu and Nandipur to gas) and new build-ins (including two coal power plants in Sahiwal and Port Qasim, three gas-fired plants in Bhikki, Haveli, Bahadur Shah and Balloki, two nuclear plants, Neelum-Jhelum Hydropower project and Tarbela-IV extension) to bring more than 10,000MW of electricity into the national grid before summer 2018.

Overall, a water and power ministry order capping new generation on imported fuels in June said the energy projects already under construction will bring in 13,207MW of new generation capacity by end-2018. Power generation already financed and under various stages of execution will bring a further capacity of 20,380MW by 2022, raising the total installed capacity to 53,405MW (from existing capacity of above 24,000MW).

But the reports of significant delays in the completion of Neelum Jhelum and Tarbela projects, as well as supply of high efficiency gas turbines by GE for the RLNG-fired plants, have cast doubts over the government’s plan to deliver on its promise. Transportation of coal to the power plant in Sahiwal is being viewed as a major problem for its timely commissioning. Energy experts aren’t very optimistic about scheduled commission of other projects either.

“The devil lies in details. The possibility of an addition of 10,000MW of new generation to the system in the next two years appears quite bleak to me,” the chief executive of an independent power producer, who spoke on condition of anonymity because of the sensitive nature of the matter, said.

“Even if the authorities overcome the snags in the way of the completion of these projects, the chances are it will continue to enforce blackouts because of the distribution companies’ inability to recover their bills, plug electricity thefts and cut system losses.”

According to a Nepra report, at least a quarter of electricity generated in the country is lost in the system or stolen. The unrecovered bills of the discos amounted to a staggering Rs684bn last month with the government owing Rs300bn to power producers and fuel suppliers despite a 27pc reduction in fuel prices, according to a report published in this newspaper last month.

“In spite of a substantial reduction in global fuel prices, the government is not using the available generation capacity to the optimal level and is enforcing power blackouts because distribution companies are not able to fully recover their bills,” the anonymous CEO said.

Others agree. “Increasing your generation capacity for political mileage during the next elections without reforming the power sector in its entirety could prove counterproductive. If you cannot reduce your system losses and recover the bills, you will avoid optimal use of the installed capacity because more generation would mean a bigger (fiscal) deficit (for government),” a senior executive of another power company explained.

“The partial generation capacity utilisation will only increase the cost of electricity for consumers because of high fixed costs, debt servicing and capacity charges to be paid to the power firms. What is the use of having more generation if you do not want to use it and consumers cannot afford it?” he asked. “Unless the government addresses the real issues facing the power sector, it will only be inflating its problems by adding more generation to the system”.

Published in Dawn, Business & Finance weekly, September 12th, 2016
 
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Pakistan increasing storage capacity to more than 20 days
Oil companies set to replace outdated petroleum products with higher quality fuels
By Salman Siddiqui / Shahram Haq
Published: November 17, 2016

LAHORE / KARACHI: Pakistan has initiated projects to increase the oil storage capacity above the mandatory limit of 20 days, as reserves will be kept for a longer duration despite a significant jump in demand, the minister for petroleum and natural resources said on Wednesday.

“Pakistan State Oil (PSO), Hascol Petroleum and a third party {Frontier Works Organisation} are adding to the storage capacity,” said Shahid Khaqan Abbasi while talking to media at the launch of premium petroleum products by PSO.

He said the storage capacity was being scaled up despite a significantly higher demand for petroleum products. “Last year, the country saw a 17% increase in demand,” he said.

Hascol to build oil storage facility at Port Qasim

At present, most of the oil marketing companies usually maintain oil stocks that could meet demand for about 15 to 17 days. A major part of the demand is met through imports.

The reserves help streamline the supply of oil to vehicles on roads, aviation industry and armed forces. The jump in demand is the result of cars switching over to petrol from hardly available compressed natural gas, exponential increase in the number of vehicles and surge in use of power generators.

The minister added other oil marketing companies were also set to replace soon their outdated petroleum products with fuel of international standards.

“The market has been demanding upgraded fuel for quite some time,” Abbasi said. “Modern luxury vehicles need this premium quality fuel which enhances engine performance and per-kilometer mileage and is environment friendly.”

Port Qasim: Fotco, Trans Group pumping $25m for oil storage facility

Earlier, PSO formally launched the improved quality petroleum products which replaced two of its largely sold vehicle fuels. Accordingly, Altron Premium (RON 92) and Altron X High Performance (RON 95-97) replaced Premier XL Gasoline (RON 87) and HOBC respectively.

“The colour of new oil products is different {green}. They also contain DNA, the feature that checks and maintains product quality at any time in the entire supply chain. It will also help avoid counterfeit and contaminated products,” he said.

The new oil products have a reduced impact on environment. They have been in demand since Japanese car assemblers rolled out Euro-II engine vehicles.

Cost factor

The prices of the new products would be comparatively higher because of the quality factor. The new price of Altron Premium will be announced at next meeting of the ministry that usually takes place at the end of every month. Till then, it will remain available at current prices.

The price of Altron X High Performance would go up by Rs5-7 per litre, it was learnt.

Abbasi said though all imports would now have upgraded fuel, the government would not regulate prices of the Altron X quality.

He said Pakistan was still offering oil products at much cheaper rates than other economies. “In our neighbouring country, the price of petrol exceeds Rs100 per litre, a difference of around 50%,” he added.

Abbasi said the government would try its best to overcome a huge gas shortage through additional imports in the approaching winter days. “There is a 40% shortage of gas on the Sui Northern Gas Pipelines’ network,” he said.

He said the agreement to import re-gasified liquefied natural gas with Qatargas was executed at low prices. “If I am found guilty of wrongdoing, then I am ready to go to jail,” he said.

Last year, the government signed an import deal with the Qatari firm, which would supply gas to Pakistan for 15 years at a price of 13.37% of Brent crude oil rate.

Published in The Express Tribune, November 17th, 2016.
 
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Pakistan setting up world’s largest solar park
By APP
Published: November 30, 2016
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ISLAMABAD: Minister of Climate Change Zahid Hamid has boasted that Pakistan is setting up world’s largest solar park of 1,000 megawatts as part of its plan to promote production of renewable energy in the country.

“Pakistan has also enacted the National Energy Efficiency and Conservation Act 2016 to promote effective conservation and efficient use of energy,” he said while addressing a press conference on Tuesday.

The minister led a Pakistani delegation for participation in the COP22 Conference in Morocco recently, which provided an opportunity to highlight the significant achievements made to address the impact of climate change.

Although blessed, Pakistan’s politics remain an obstacle

Hamid said the world community was informed that Pakistan’s contribution to global warming was minimal as “we emit less than 1% of the annual global greenhouse gas emissions. Yet we are ranked amongst the top 10 countries that are most vulnerable to climate change.”

The world community was also informed that Pakistan faced several major risks pertaining to climate change including glacier melting, variable monsoons, recurrent floods, rise in sea levels, higher average temperatures and higher frequency of droughts.

Millions of people had been affected and a colossal damage was caused on a recurring basis, he said.

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“These threats pose major survival concerns for Pakistan, particularly in relation to water security, food security and energy security,” Hamid said, adding these threats also had enormous adverse consequences for all socio-economic sectors, limiting the country’s ability to promote sustainable growth and development.

The minister emphasised that Pakistan as a responsible member of the global community had taken substantial steps, especially during 2016, to tackle the threat of climate change.

Pakistan producing more than 1,000MW of clean energy

He termed the launch of Rs2-billion Prime Minister’s Green Pakistan Programme, which would be implemented across the country, a historic initiative. “This will establish a high-level, policymaking Pakistan Climate Change Council along with Pakistan Climate Change Authority.”

The minister added Pakistan had developed the National Sustainable Development Strategy and had perhaps become the first country in the world whose National Assembly passed a unanimous resolution adopting the SDGs as its own national development agenda.

Published in The Express Tribune, November 30th, 2016.
 
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Fata has vast gas reserves, says survey.

PESHAWAR: The geological seismic surveys have revealed that around 20 trillion cubic feet natural gas can be explored in different blocks in the militancy-affected Federally Administered Tribal Areas, says a senior official.

“The geological seismic surveys have been completed in few areas of tribal belt and approximately 20 trillion cubic feet gas can be acquired from different zones,” Fata Oil and Gas Facilitation Unit director Azhar Mahboob told Dawn after a workshop here on Wednesday.

The unit has been set up in the Fata Development Authority.

The director said the petroleum ministry had issued licences to different companies for oil and gas exploration in 15 blocks in Fata.

He said the survey for the exploration of oil and gas had been finished in the Frontier Region Bannu bordering North Waziristan Agency.

Official says 20 trillion cubic feet gas can be explored in different blocks of tribal region
Mr. Mahboob said surveys in some soft areas like FR Peshawar, Kohat, Dera Ismail Khan and lower parts of Orakzai Agency were in progress, while gravity survey for oil and gas in North Waziristan Agency had been initiated.

He said the MOL Pakistan had been given the licence for survey in North Waziristan Agency.

“Oil and gas sector is considered a game changer for tribal region,” he said, adding that drilling in those blocks would begin after the completion of the surveys.

The director said investors had been told to begin activities within six months and if that didn’t happen, the federal ministry would be asked to cancel their licences.

The Cell for Fata Studies of the University of Peshawar organised the workshop about the ‘economic currents and opportunities for economic development in tribal areas’. Geologists and students attended the workshop.

Mr. Mahboob said Rs4.5 billion investment had been attracted during the last nine to ten months.

He said the idea had been floated to establish oil and gas company for Fata.

Besides, the governor had also approved a summary to ask the federal government for the inclusion of Fata in all petroleum policies and rules, he added.

Fata minerals manager Hamayun Khan told the workshop that military’s giant Frontier Works Organisation had been given the contract to process copper mines in North Waziristan Agency.

He said under the agreement, 50 per cent of the revenue generated in that way would go to the FWO, 18 per cent to local tribes, 10 per cent to the FDA and 22 per cent to local corporate social responsibility to be spent in social sector.

Mr. Hamayun said the FWO had sublet the contract to its subsidiary, DEW, for the exploration of copper mines in Mohammadkhel of North Waziristan.

He said the estimated deposits of copper in the area were 35 million tons of which eight million tons had been proven.

The manager said exploration of minerals and survey for discovery of oil and gas had been started after restoration of law and order situation in Fata.

He said the tribal areas had rich portfolio of minerals and that the total deposits of fine quality marble were seven billion tons in Bajaur and other parts of Fata.

Mr. Hamayun said two million tons of marble were exported from Fata annually. He said the government would ban the unconventional methods of marble exploration in Fata.

Professor Saddique Akbar of the University of Engineering and Technology Peshawar expressed concern about the use of unconventional techniques in the mining sector of Fata and Khyber Pakhtunkhwa.

He said 70-80 per cent of marble was destroyed due to indiscriminate use of explosives in marble and chromites mines.

“The mineral sector contributes only one per cent to the Gross Domestic Product. It can be increased to 20 per cent through proper exploitation of the mineral sector,” he said.

Professor Saddique said there was a shortage of skilled workers in the mining sector. He said the government should act as a facilitator to enable local investors to produce products of international standards.

Dr Altafullah Khan, head of the department of journalism and mass communication at the University of Peshawar, and Dr Hussain Shaheed Soherwordi, head of the Fata Cell, also addressed the workshop.

Certificates were later distributed to participants.

Published in Dawn December 22nd, 2016
 
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340MW Nuclear Power Plant 'C-3' to be inaugurated Dec 28

A 340MW extension unit of the Chashma Nuclear Power Plant (CHASNUPP), titled C-3, is all set to be connected to the national grid on Wednesday, reported Radio Pakistan.

The plant has been completed with support from China, the report added. Prime Minister Nawaz Sharif is expected to inaugurate the plant.

The project was executed by the Pakistan Atomic Energy Commission under the guidelines of the International Atomic Energy Agency.

Another unit of the same capacity, titled C-4, is expected to be connected to the national grid in the future.

CHASNUPP Unit-1 and CHASNUPP Unit-2 are already functional.
 
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Tariff is the key, premium for 24 hour power, but what is it?
 
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http://www.dawn.com/news/1308749/gas-crisis-worsens-in-punjab

Gas crisis worsens in Punjab


LAHORE: Gas crisis worsened in Punjab on Sunday after the shortfall surged to 400MMCFD, forcing the Sui Northern Gas Pipelines (SNGPL) to divert to the domestic sector a supply of about 275MMCFD, out of over 400MMCFD liquefied natural gas (LNG) meant for the industrial, power and CNG sectors.

Although the situation in Khyber Pakhtunkhwa is not as dire as in Punjab, consumers have started complaining about low gas pressure there as well.

The SNGPL claimed to have launched a campaign against those using compressors to extract gas in parts of Punjab and KP, causing low gas pressure.

At present, the company supplies around 1,400 to 1,500MMCFD to the domestic sector, which needs supplies ranging between 1,800 and 1,900MMCFD to meet the demand of about five million consumers in Punjab and KP.

LNG supply to industrial, power and CNG sectors cut to meet domestic demand


“Following severe cold, the situation appears to be tough these days. The shortfall has surged to 400MMCFD amid a demand of 1,800-1,900MMCFD, even though we have curtailed LNG supply to two major fertiliser plants, as many power plants and the CNG sector, and diverted it to the domestic sector,” SNGPL managing director Amjad Latif told Dawn.

The fertiliser plants — Fatima Fertiliser (Pvt) in Sheikhupura and Pak Arab Fertilisers (Pvt) in Multan — consume 90 to 100MMCFD of gas.

Likewise, gas supply to the Rousch Power Plant, the Abdul Hakim Power Plant (in Kabirwala and Khanewal respectively) and the Liberty Power Plant, in Mirpur Mathelo, has been suspended for an indefinite period.

“The Rousch Power Plant was being supplied 90 to 95MMCFD while Liberty consumes 40 to 45MMCFD... However, the supply to Liberty Power Plant has been curtailed on account of non-payment of bills... and not for overcoming the gas crisis,” the MD said.

He said the supply to other industries, including textiles, continued. The textile sector and other industries that have switched over to LNG are being supplied 100 to 150MMCFD.

But the supply to different industrial units in Punjab, which have not shifted to LNG despite repeated requests, was curtailed last month.

“The situation is really problematic these days and we are trying hard to ensure gas supply to at least domestic consumers during winter,” Mr Latif said.

To a question, he said the use of compressor by some consumers to extract gas was a headache for the company as it made it difficult to keep pressure. During the last 30 days or so, over 3,000 consumers in Punjab and KP have been caught red-handed for using compressors.

The SNGPL has cut connection of such consumers for three months.

“Keeping in view the situation, we have asked the federal government to amend the laws and provide judicial powers to the SNGPL to enable it to take stern legal action against those using compressors to extract gas,” the MD said.

After curtailment of gas supply, power generation of over 600MW by the plants (400 by Rousch and 235 by Liberty) has been stopped, leading to an increase in the electricity shortfall and enhancing loadshedding hours in parts of the country.

Published in Dawn January 16th, 2017
 
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7 facts about Pakistan's energy crisis ─ and how you can help end it
Over 140 million Pakistanis either have no access to the power grid or suffer over 12 hours of loadshedding daily.
Dawn.comUpdated Aug 05, 2016 05:51pm

Can the government tackle the energy crisis? Doing so in the long run may be possible, but in the immediate term, consumers must begin using more energy-efficient products in order to mitigate the issue, reveals the report "Energy Conservation: Avoid Wastages, Prevent Shortages" by Research and Advocacy for the Advancement of Allied Reforms (Raftaar).

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The average shortfall in the power sector is 4,000 MegaWatts, and nearly two billion cubic feet per day (BCFD) in the natural gas sector.

The shortfall in the power sector can rise to around 7,000MW or 32pc of total demand for electricity.

2.
Chronic power shortage, in the form of load-shedding and power outages, costed the Pakistan economy Rs14 billion (7pc of GDP) last year.
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Over 140 million Pakistanis either have no access to the power grid or suffer over 12 hours of load-shedding daily. Pakistanis who do not have access to the grid are often poorer than those on the grid. Meanwhile, household electricity consumption has grown at an average annual rate of 10pc yearly.
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500,000 households are impacted with unemployment as businesses have been forced to shut down due to energy shortages.
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In the last five years, Pakistan has taken a hit of Rs145 billion per annum from system losses in the grid due to inefficient transmission and distribution.

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Investment in the power sector has fallen to 0.7pc of the GDP in the last 10 years, from a high of 1.5pc during the 1980s and 1990s.

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Rs30 billion is the approximate expenditure by Pakistani households on UPS and battery chargers alone. About 60pc of Pakistani households have some form of UPS as a backup for selected appliances during power cuts and shortages. Backup power sources are a stopgap solution, both wasteful and inefficient.
 
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