Worsening energy crisis: demand-supply gap to soar to 8,000 megawatts mark

15 Jun, 2012

The energy crisis deepened in the country as the demand-supply gap neared 8.000-megawatt level on Thursday. Karachi remained the only exception where massive outages have not yet disrupted civic life. Attribting the massive power cuts to non-availability of funds with the finance ministry, Analysts said that the situation was aggravated by a huge reduction in the supply of furnace oil to Hub Power Company (Hubco) and disconnection of gas to Kapco power generating units.
The duration of power outages is 12 hours a day in major cities and towns across the country, while villages endured 20-hour-long power cuts, especially in Punjab. "Finance and Petroleum ministries are not co-operating with us, which is the key reason of massive power cuts," said an official of the Water and Power Ministry. Pakistan State Oil (PSO) is learnt to have reduced the supply of furnace oil to Hubco, down to just 2,000 tons per day from 7,000 tons, effectively reducing the plant's generation capacity to just 600MW.
The sources said that Kapco, with a generation capacity of 850MW, had already been shut down after the Sui Northern Gas Pipeline Company Limited (SNGPL) started supplying gas to Rousch power plant with the blessings of the Petroleum Minister. "About 2,700MW of electricity is eliminated from the system because of non-availability of funds and fuel," the sources said.
Officials in the Ministry of Water and Power said that the domestic demand crossed 19,000MW mark against generation of 11,531MW, out of which "670MW is being gifted to KESC". PSO's receivables against Hubco touched Rs 103 billion, of which Rs 98.5 billion is overdue. Kot Addu Power Plant (Kapco) has to pay Rs 30 billion to PSO.
In an official statement, the Ministry of Water and Power acknowledged that total generation was at 11,531 MW, of which hydel generation was 4,551MW, thermal 1,290MW and IPPs were contributing 5,690 MW. According to the Ministry, power generation had been reduced because of low water inflow at Mangla and Tarbela reservoirs against figures for last year.
"The gap between demand and supply has widened. The shortfall during peak hours is about 6,409MW and the system computed demand was 17,940MW," official statement added. According to sources, the Finance Ministry had not yet paid Rs 18.54 billion meant to clear outstanding IPP dues despite clear directives by the Economic Co-ordination Committee (ECC) of the Cabinet.
On Wednesday, the Ministry of Water and Power while giving a presentation to the Federal Cabinet demanded Rs 50 billion to minimise power cuts in the country. Prime Minster Gilani also directed the Finance Ministry to provide required funds for power generation. However, the Finance Ministry did not release a single penny in this regard.

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