The government has missed all key targets for energy security as even after full two years its progress in 17 areas, covering from import of LNG, natural gas, and electricity to induction of Pakistan Atomic Energy Commission (PAEC) for uranium in Thar is literally zero.
Sources said that the targets for energy security were fixed by top level leadership in 2005 to ensure energy security. But, hardly anything happened practically. The only outcome has been meetings and meetings during the last two years. Those who fixed the targets should rethink, if they were really set to achieve after all and who was responsible for the extremely poor performance.
Implementation of even a third of decisions could address the load shedding issue, hurting Pakistan more than anything else at this point in time. The details of the decisions were made available to Business Recorder.
These were:
-- Contrary to general practice the world over, in Pakistan, the prices of natural gas were higher for industrial consumers as compared to domestic consumers. Import of gas (cheaper than locally produced) should be expedited to ensure supply of gas to industrial sector at competitive rates for lowering the cost of production.
-- The policy of allocation of gas and its management during shortage period be reviewed and done on modern lines so that the industrial sector does not face the squeeze.
-- The prospective investors be assured supply of gas as additional supply of gas would be made available through the import of pipeline gas and or LNG.
-- Sui Southern Gas company should fast-track the import of LNG through private sector on BOT/BOOT basis.
-- BOI and PPIB should appropriately inform prospective investors that Pakistan is a multi-use country so that investors install plants capable of running on at least one other fuel, besides natural gas.
-- The Ministry of Petroleum and Natural Resources must ensure development of Tal Block (NWFP) on priority to meet the growing demand for energy.
-- Feasibility of importing hydel power from Kyrgzstan and Tajikistan be undertaken on priority.
-- Tarbela extension project be assigned to the private sector.
-- Alternative Energy Development Board should ensure completion of the first pilot wind power plant of 100 MW by December 2005. For this, the Government of Sindh must provide land at Keti Bandar and Gharo, latest by end-March 2005.
-- One hundred industrialists should be tasked to establish ethanol production plants.
-- Foreign investors should be encouraged to set up naphtha cracker plant. In case of lack of response from them, local investors should be invited to discuss the project.
-- OGDC to explore the possibility of getting/running a developed oilfield in Iraq.
-- PEAC should be inducted in the mining of uranium in Thar.
-- There is need to establish more power plants based on nuclear energy. Participation of other countries like Canada, Germany, France and USA in this regard be explored.
-- Adequate facilities be made available at Gwadar Port to serve as an alternative port in case of blockade of straits of Hormuz.
-- PSO should be tasked to undertake the study for utilising Gwadar as hub for oil storages and refineries, particularly keeping in view the current geopolitical scenario.