Perfect Storm

Author: Daily Times

Spelling an end to the brief honeymoon period of the PML(N) government as it rode on a wave of goodwill after reduced electricity tariffs were extended to provide relief to the inflation-stricken masses, October is here with a bang and going by the power regulator projections, there’s no bringing back the subsidised tariffs.

Since negotiations between the government and IPPs have only just begun (even if the first domino fell in favour of reduced electricity prices), it would be safe to assume that we are fast headed back towards square one. Sensing the imminent pressure to make the best out of the worst situation, those at the helm of the affairs are fully aware of the need to pursue new strategies to soften the blow.

And because nothing gives better optics than waving threats, Federal Energy Minister Sardar Awais Leghari cautioned of strict administrative action against the officers in charge of unsatisfactory performance by power distribution companies. There’s no denying the urgency of a comprehensive framework that deals with every gaping hole in the sinking ship instead of feathering over the cracks. However, a flurry of news headlines about potential revolutionising in the sector, which point to a million directions, all at once, only serves to spread chaos. Nothing more and nothing else.

Pakistan would have to establish a zero-tolerance policy against energy theft in addition to revising the “protected” slabs. Any and all relief should be directed towards the hapless citizens who do not have it in them to foot the bill. In the past, talks of reforms that focus on green energy projects led millions of households across the country to invest in rooftop solar power generation. To their misfortune, the last few months have been a constant struggle as they are pitted against a government that has begun to realise the Damoclean sword hanging over the national grid.

There’s a fresh crisis in the offing as the reduced LNG consumption from the power sector creates an oversupply issue for Pakistan State Oil, which has already secured long-term contracts with Qatar. With people’s patience at a historic low, it would take unprecedented political willpower and innovative solutions for the government to follow the right (and unbelievably tough) path. Like it or not, everyone wants solutions, not more problems, and that too, in the blink of an eye! *

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