Pakistan Braces for Summer

Author: Dr Iqra Mushtaq

As the mercury rises and daylight expands, summer is here in Pakistan. This period of extreme warmth and humidity brings with it the promise of joyful experiences of mangoes and bright colours. However, amidst the embrace of this delightful season, one cannot overlook the challenges that accompany it in the realm of electricity.

In terms of changing climate, Pakistan is no stranger to scorching heat waves, and rising temperatures make life difficult for many. When the temperature increases, the demand for electricity reaches unprecedented levels creating a significant seasonal difference between a base load of winter and summer. With the country’s power grid already struggling to meet demand, numerous regions experience frequent power outages, leaving residents and industries without electricity for hours on end. In recent years, this situation has become increasingly dire as record-breaking temperatures push the power grid to its limits. The surge in air conditioning usage and other electrical appliances strains the grid, resulting in frequent disruptions and blackouts.

For decades, Pakistan has grappled with an enduring mismatch between electricity demand and supply, driven by population growth, industrial expansion, and insufficient power generation capacity. Nevertheless, in recent years, the country has made concerted efforts to augment its electricity generation capacity. The addition of new power plants, including both thermal and renewable energy projects, has contributed to an increase in overall generation capacity. Regrettably, this growth has not adequately matched the escalating electricity demand, particularly during the demanding summer months.

By investing in the renewable energy sources, the country can reduce its reliance on imported fossil fuels and satisfy the growing demand for electricity.

Consequently, as electricity generation capacity has expanded, Pakistan has experienced a surge in electricity prices. Two critical factors shape this trend. First, the cost of fuel, such as furnace oil and diesel, used in thermal power plants. Fluctuations in international oil prices can substantially impact the cost of imported fuel, leading to higher generation costs and subsequently increased electricity prices. Second, the scarcity of natural gas resources has compelled a greater reliance on costlier alternative fuels. This dependence on more expensive fuels, such as furnace oil and liquefied natural gas (LNG), drives up generation costs and puts upward pressure on electricity prices.

Nevertheless, a glimmer of hope shines on the horizon. Pakistan possesses significant potential for renewable energy generation, particularly through solar, wind, and hydroelectric power. By investing in these energy sources, the country can reduce its reliance on imported fossil fuels and satisfy the growing demand for electricity in a sustainable and environmentally friendly manner.

Transitioning towards self-sufficiency in electricity generation using renewable energy sources offers several benefits to the nation. Pakistan boasts ample renewable energy resources, including abundant sunlight, wind corridors, and untapped hydropower potential. Harnessing these resources would allow the country to tap into its indigenous energy sources, reducing dependence on imported fuels and enhancing energy security.

Renewable sources are also climate-friendly, providing a means to mitigate climate change, reduce carbon emissions, and improve air quality-a step towards a cleaner and healthier environment for future generations. Moreover, embracing renewable energy can play a significant role in achieving the United Nations Sustainable Development Goals (SDGs), specifically in terms of affordable and clean energy (SDG 7) and climate action (SDG 13).

However, transitioning to renewable energy sources for electricity generation in Pakistan is not without its challenges. Renewable energy sources are inherently intermittent and variable, relying on weather conditions and daylight availability. Balancing electricity supply and demand becomes increasingly complex as generation from renewables fluctuates. To ensure a stable and reliable power supply, effective integration, and management strategies, including energy storage systems and grid flexibility, are crucial. Upgrading the grid to accommodate variable generation patterns, bidirectional power flow, and advanced grid management systems is equally important. Grid stability and reliability are paramount to prevent blackouts or disruptions in electricity supply. Furthermore, renewable energy sources necessitate energy storage solutions to address the intermittent nature of their generation. However, cost-effective, and large-scale energy storage technologies are still in their nascent stages of development. Limited storage capacity poses a challenge in matching electricity supply with demand during periods of low renewable generation, such as at night or during calm weather conditions. The upfront costs associated with developing renewable energy projects also present a significant barrier. Securing financing and attracting private investment for renewable energy initiatives require supportive policies, incentives, and a favourable investment environment.

The solution to these challenges lies in a three-pronged approach: investment, customer involvement, and community engagement. Firstly, investment plays a pivotal role in enhancing electricity generation using renewable resources. Organizations such as the World Bank, Asian Development Bank, and Green Climate Fund can provide financial assistance and grants for renewable energy projects. These funds can be allocated towards infrastructure development, research and development, capacity building, and policy support initiatives.

The private sector can also contribute significantly to renewable electricity generation in Pakistan. Public-private partnerships are key to encouraging private investment in renewable energy. Collaborative arrangements between the public and private sectors can leverage private sector expertise, investment, and efficiency in developing renewable energy projects. Implementing transparent and competitive bidding processes for renewable energy projects can attract private sector participation and ensure cost-effectiveness. Offering long-term power purchase agreements with favourable terms and conditions provides revenue certainty for private sector investors and serves as an incentive for investment. Creating an enabling environment through supportive policies, incentives, and tax benefits further encourages private sector engagement in renewable energy projects.

Secondly, Pakistan can promote consumer adoption of renewable energy, contributing to a sustainable and low-carbon energy future. Reducing the prices of solar panels through policies and incentives, such as tax exemptions, import duty reductions, and subsidies, can make renewable energy systems more affordable for consumers. Raising awareness among consumers about the benefits of renewable energy, energy conservation, and available incentives can foster their adoption. Implementing net metering policies and feed-in tariffs allows consumers to sell excess electricity generated from renewable sources back to the grid, incentivizing the installation of renewable energy systems. Offering financial incentives, such as low-interest loans, grants, or tax credits, to residential and commercial consumers who invest in renewable energy systems can further promote uptake. Establishing a market for green energy certificates enables consumers to support renewable energy generation by purchasing certificates corresponding to a specific amount of renewable energy.

Lastly, community engagement plays a pivotal role by encouraging the integration of solar panels into new housing developments. By incorporating solar panels into new housing projects, the reliance on conventional energy sources diminishes, resulting in lower carbon emissions and a reduced ecological footprint. This supports national and global efforts to mitigate climate change and transition to cleaner energy systems. Subsidizing the prices of solar panels for new housing developments can make them more accessible for homeowners. Solar panels empower residents to generate their electricity, reducing dependence on the grid and potentially lowering energy bills. By subsidizing solar panels for new housing, Pakistan can expedite the transition to a renewable energy future, reduce greenhouse gas emissions, and promote sustainable and energy-efficient communities.

Pakistan stands at a crossroads in its energy sector, where the challenges of rising temperatures and electricity demand intersect with the immense potential of renewable energy sources. By adopting a comprehensive approach encompassing investment, customer involvement, and community engagement, Pakistan can navigate these challenges and embrace a sustainable and prosperous energy future. The time to act is now, as the summer sun shines bright and beckons the nation towards a greener horizon.

The writer has a doctorate in Energy Economics and currently serves as a Lecturer (Government College Women’s University, Sialkot). She can be reached at iqra.mushtaq@gcwus.edu.pk

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