Presentation Economics

Topic: Wapda & Monopoly Market

Presented By
Muhammad Saad
Syed Mobeen Naqvi
Usama Arshad
Muhammad Tufail
Sikandar Khan
MONOPOLY:
Monopoly refers to the market of a particular commodity where there is only one seller of

the said commodity. “Mono” is a Greek word which means “Sole” or “Single” “Poly”

means “Sell” Thus it means supply of commodity by a single seller.

INTRODUCTION:
“Monopoly is a market situation where a single firm represents the whole industry. Such
single firm has complete control over the production or sale of the commodity. The good
sold by monopolist does not have any close substitute.”

A Monopolist:

 Is the sole supplier of an industry’s product and the only potential supplier.
 Is protected by some form of barrier to entry.
 Faces the market demand curve directly.
Private monopoly:
The monopoly firm owned and operate by private individuals is called the private monopoly. Their
main motive is to make profit.
Public monopoly:
The monopoly firm owned and operated by public or state government is called public monopoly.
It is also known as social monopoly. The entire operation is controlled either by central or state
government. Their main motive is to provide welfare to the public.
Absolute monopoly:
It is a type of monopoly, where a single seller controls the entire supply of market without facing
competition. It is also known as pure monopoly. His product does not have even any remote substitute also.
Imperfect monopoly:
It is a type of monopoly in which a single seller controls the entire supply of the market which does
not have a close substitute. But there might be remote substitute for the product available in the market.
Simple or single monopoly:
It is a type of monopoly in which a single seller controls the entire market, by selling the
commodity at a single price for all the consumer. There is no price discrimination in the market.
Discriminative monopoly:
When a monopoly firm changes different prices for the same goods or services to different
consumers it is known as discriminative monopoly.
Legal monopoly:
When a firms enjoys rights like trade mark, copy right, patent right, etc. then it is known as
legal monopoly. Such monopoly rights are approved by the government.
Natural monopoly:
When a firms enjoys monopoly right due to natural factors like location reputation earned
etc, it is called as natural monopoly. Natural talent, skill of the producer also makes him to enjoy this
right.
Technological monopoly:
When a firm enjoys monopoly power due to technical superiority over other products in the
market, then it is called as technological monopoly. For example products produced by L & T, Godrej
etc. are technological monopoly. So by explaining technological monopoly and other monopolies we
have finished with the full explanation of different types of monopoly.
AVERAGE AND MARGINAL REVENUE UNDER MONOPOLY:

In case of monopoly one firm constitutes the whole industry. Therefore, the entire

demand of the consumer for a product faces the monopolist. Since the demand

curve of the consumers for a product slopes downward, the monopolist faces a

downward sloping demand curve.

INTRODUCTIO
N:
Pakistan Water and Power Development Authority (WAPDA) was established through an Act of
Parliament in 1958. It is an autonomous and statutory body under the administrative control of
the Federal Government. The Authority consists of a Chairman and three Members (Water, Power
and Finance). Wapda was unbundled in the year 2007 whereby the functions of its Power wing
were redefined as Hydel Power Generation and Operation & Maintenance (O&M) of power
houses. Following unbundling of its power wing, WAPDA’s mandate is now development of water
and hydropower resources in an efficient manner.

In order to meet the requirements of the country in both water and hydropower sectors with an
ultimate object to put Pakistan on the track of development, WAPDA has planned to construct
five multi-dimensional water storage dams during the next 3-12 years. The building of these dams
will not only help address acute water challenge but also produce cheap and clean hydroelectricity.
Wapda Project :
 Hydro Project  Under Construction:

 Ghazi Brotha  Dassu

 Jinnah  Ghazi Brotha
 Rusal  Warsak Power
 Chasma  Kheyal Khawar
 Neelam jehulm  Up Coming Projects:
 Tarbela 4th extension  Muhammad DAM
 Terbela Dum  Bunji
 Mangla  Tarbla 5th Extension
 Chitral  Daimer Basha Dum
 Harpo
WAPDA’s hydel generation crosses 8,000MW

LAHORE: The hydel power stations owned and operated by the Pakistan Water and Power
Development Authority (WAPDA) generated highest-ever electricity during the peak hours on July 31,
2019 as generation crossed 8,000 megawatt (MW) mark for the first time in Pakistan, a statement said
on Thursday
WAPDA delivered as much as 8,158 MW of electricity to the national grid during peak hours. This
quantum of hydel power share registered an increase of about 600 MW if compared with that of
previous years.
“This increased share of hydel electricity in the National Grid is the result of maximum power
generation from Tarbela Hydel Power Station, Tarbela 4th Extension Hydropower Project and Neelum
Jhelum Hydropower Project,” the statement said.
The data showed that Tarbela Hydel Power Station generated 3,496 MW, Mangla Hydel Power Station
280 MW, Tarbela 4th Extension 1,410 MW, Ghazi Barotha 1,450 MW and Neelum Jhelum 978 MW
while other hydel power stations cumulatively shared 544 MW to the national grid.
Since installed capacity of WAPDA hydel power stations has risen to 9,389 MW with phased
completion of its three mega hydropower projects namely the 969 MW-Neelum Jhelum, the 1410
MW-Tarbela 4th Extension, and the 108 MW-Golen Gol, therefore, now the hydel generation this
year has touched new peaks beyond 8,000 MW with increased water flows, raised level of water
reservoirs and increased water indent by Indus River System Authority (IRSA).
WAPDA owns as many as 22 hydel power stations and provides about 31 billion units of hydel
electricity on the average annually to the national grid.
The share of hydel generation greatly contributes in lowering the overall electricity tariff for the
consumers, as electricity generated through other sources is far costlier than hydel electricity.
It may be mentioned that the government is working on improvement and development of the
power transmission system and by next year, it would enhance power transmission capacity by
3,000 MWs touching the highest capacity of 26,000 MWs.
During the ongoing summer average 21,000 MW electricity was transmitted by the system with
the highest load of 23,000 MW, as this year too, the government added 3,000 MW capacity in
transmission system. By next summer, the capacity would be enhanced to 26,000 MWs.