BOOK REVIEWS: Energy problems and issues

There could not have been a more opportune time to write and bring out a book on this subject than now, when the energy crisis has peaked and worsened marked by protest and riots in many cities in Punjab, where the load-shedding is at its worst. Circular debt issue has probably worsened as more IPPs have stopped generating electricity due to liquidity issues.
IPPs have approached the Supreme Court and if the problem is not resolved some may even approach International Tribunal as well. This is the second book written by the author, the earlier one published in 2009 was "Pakistan's Energy Development: the road ahead," which was liked by a good mix of data, argument and policy prescriptions. The current book, Issues in Energy Policy, is filled with policy issues and prescriptions imploring and assisting the policy makers to bring about fundamental changes. The main theme of the book is on indigenous resource development be its Thar coal, Wind or local gas. He argues that imported energy would be very expensive, having disastrous consequences for the economy and for the common man. Imported energy projects have been fielded hoping that these would be implemented sooner than the local resource development. However, marked with controversies, litigations and long drawn negotiations, import projects take longer than ever imagined. Take the case of LNG or even gas pipeline projects.
The author takes strong exceptions to the high wind tariff awarded recently by NEPRA, which he proves through international credible evidence that such tariff is 50-70% higher than elsewhere. Such high wind tariff, he argues, would further worsen the cost-price differential and thus the circular debt which would discourage foreign investment defeating the purported purpose of attracting investments through higher tariff. He proposes reforms in the regulatory regime and argues for bringing in transparency and competition for reducing the energy costs and prices.
In the wake of 18th amendment, quite some role has been given to the provinces. We find that in the four years that have gone by, provinces could not utilize the autonomy given. The author explores the reasons in a non-partisan ways and points out the lacunae and problems that still persist. He also recommends ways and means of amicably resolving the hydro royalty issue on a firm and long-term basis. There is a full chapter dedicated to these issues; constitutional issues in energy sector. These are some of the issues I have picked out from an extensive treatment of issues the book deals with, which include Oil, Gas, Coal, LPG, LNG, CNG and electricity etc.
This time unlike the previous book, there is more discussion than data, which perhaps was required. For elaborate data, one could consult the earlier book, which is still relevant and has massive data content. Overall, this is a highly readable account of Pakistan's energy problems and issues and I would recommend it to all the stakeholders ; trade, industry, utilities, government , professionals ,education and all other people who take interest in country's problems. Having been published abroad, the book is expensive. It is hoped that local publishers would be able to publish a Pakistan edition that would be affordable.

========================================

Book        :    Issues in Energy Policy

Author      :    Akthar Ali

Publisher   :     Amazon.com

========================================