Energy Crisis in

Pakistan

Fahad Farrukh
MECF06M016
 Introduction
 An energy crisis is any great shortfall in
the supply of energy resources to an
economy.
 It refers to the shortage of oil and
additionally to electricity or other natural
resources.
 The crisis often has effects on the rest of
the economy.
 Growing Economy, Growing
Energy Needs
 Pakistan’s economy is performing at a very high
note with GDP growing at an exceptional rate,
touching 8.35% in 2004-05.
 This year official expectations are that GDP
growth rate will be around 6.5 – 7.0%.
 For the coming years, the government is
targeting GDP growth rate above 6%.
 Growing Economy, Growing
Energy Needs (continue)
 With economy growing at such a pace, the
energy requirements are likely to increase
with a similar rate.
 Pakistan’s energy requirement by 2015 is
likely to cross 120MTOE.
 By 2030, the nation’s requirement will be 7
times the current requirement reaching
361MTOE.
 Major energy resources
 Electricity
 Natural Gas
 Oil
 Hydro
 Coal
 Nuclear
 Electricity
 Pakistan produces about 19,500 MW of electric
power.
 There is currently load shedding of up to 700
MW a day.
 Electricity demand is expected to grow by eight
per cent a year during the period 2005 — 2015.
 An annual installation capacity of about 2000
MW is required for the next 10 years.
 Natural Gas

 Pakistan’s gas reserves are 32.8 TCF at

present.
 Annual production at present is about 1.16 TCF.
 A demand gap of about four per cent of the total
demand, is expected in 2010.
 Gas supply would fall from 32.6 MTOE in 2010
to 20.7 MTOE in 2025.
 Demand is expected to grow continuously,
quadrupling in 2025.
 Oil

 Oil import bill amounted to about $3.5

billion in 2004-05.
 Last year’s oil import bill amounted to
about $6.5 billion.
 Oil prices burden expected to be even
higher in future.
 How To Overcome These Crisis
 The worldwide electricity production is as
follows: coal: 40 per cent; gas 19 per cent;
nuclear 16 per cent; hydro 16 per cent; oil seven
per cent.
 Pakistan’s power production is gas 48 per cent;
hydro 33 per cent; oil 16 per cent; nuclear two
per cent, and coal 0.2 per cent.
 How To Overcome These Crisis
(continue)
 Regarding coal power generation, the US
produces 51 per cent of its power using coal,
Poland 96 per cent, South Africa 94 per cent,
India 68 per cent, Australia 77 per cent, China 79
per cent, Israel 77 per cent, UK 35 per cent,
Japan 28 per cent, while Pakistan having the
world’s seventh largest reserves of coal about
175 billion tons. Produces only 0.2 per cent of its
power through coal.
 Conclusion
 It is widely known that the present level of
energy generation in the country is far short of
that which is necessary to sustain the rate of
industrial growth and satisfy growing consumer
requirements.
 In the energy based societies of today, every
indigenous source of energy must therefore be
tapped and put to optimum use.