Power crisis: generation capacity or funds?

Sindhi Press Jan 5
Power crisis: generation capacity or funds?

Ibrat

A meeting presided over by the president Asif Ali Zaradri has released Rs7 billion for power generation. It is claimed that by the end of January 2700 Megawatt electricity would be generated. This decision of the government will help overcome the power crisis in the country up to some extent. The meeting was told that power crisis can not be overcome in short period as installation of power plants is time taking exercise.

It is hoped that after this meeting the intensity of power crisis will be reduced. But the question will remain unanswered, because this solution would be temporary one. The power crisis would again surface in the future. The meeting was told that a circular debt of Rs400 billion was the root cause of the problem. That is why electricity could not be generated.

Now it has become crystal clear that power shortage in the country was not accidental. In fact the power plants were not generating sufficient electricity which led to the crisis. If power plants are generating 11000 megawatt electricity, power needs of the country could be easily met.
The meeting observed that the problem was not of generation capacity but it was due to shortage of funds. The implications of the energy crisis for the economy are huge. Due to acute shortage of electricity industrial sector particularly textile industry has suffered a lot. Less production in textile industry contributes to less export. Therefore there was a need to work on multi dimensional directions.

If the government continues to pay to the power plants, fFor time being power supply would continue. As we know the government is facing acute financial crisis, hence such problems would continue to surface on and off. A rational analysis of the situation reveals that the current year would be very painful one and it will be difficult for the government to overcome prevailing financial crisis. Apart from temporary arrangements, new power plants be launched and generation capacity should be increased during next 12 to 18 months.
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The situation also demands to review the role of independent power plants IPPs. There was huge outstanding against the KESC. Despite a private sector company, it was depending on the government. When these organizations are running in profit they continue there production without sharing any profit with the government. But when there is outstanding they suspend supply or stop production. This needs to review the role of these companies.

These private companies indulge in blackmailing the people and government and cause heavy losses to the economy of the country. For example, KESC has launched a saving drive and it was not purchasing oil for power generation. In fact this is resulting into losses to industry and business.

However, the people have every right to know that how a willfulness of a company is causing heavy losses to the public, overall economy and creating a crisis. To overcome the present energy crises it is repeated again that all the national resources while considering the interests of all stakeholders particularly people and industry should be galvanised, on war footing. - (Jan 3)

Selected and translated by Sohail Sangi