M Hassan Shafiq L1F11MBAM1160Akmal Shehzad L1F11MBAM2127Khubaib Mehmood L1F11MBAM0186

Energy Crisis & its effects

on Pakistan’s Economy

IntroductionEnergy consumptionSome questionsEnergy Resources of PakistanEffect on economyObjective SWOT analysis Recommendations Conclusion

Contents

Introduction

An Energy Crisis is any great shortfall in the supply of energy to an economy

It usually refers to the shortage of oil, electricity or other natural resources

Energy consumption

Industrial and agriculturalpurposes

Domestic use of the citizens

Some questions

Crisis of its history?Reasons?Utilization? Pakistan importing coal? Access to electricity?

Energy resources of Pakistan

Pakistan’s Conventional Energy Resources Energy Type Potential Source

Crude Oil 339 million barrels recoverable reserves. Pak Eco Survey 2010-11

Natural Gas 31,266 trillion cubic feet recoverable reserves. Pak Eco Survey 2010-11

Coal 185 billion tones recoverable reserves. Pak Eco Survey 2010-11

Pakistan’s Renewable Energy Resources1. Wind Energy2. Solar Energy3. Bio-mass & Bio-fuels

Energy crisis badly effects Education Great effect on Industries Effects on Economy Higher electricity prices Effect on agriculture Unemployment increased

Effects on economy

Impact on society

Imported oil and coal and shortage of natural gas increase prices

Less agriculture yields

Dependent on other countries

Objective

Use own resources

Import electricity from China

SWOT Analysis

Strength

Government import and increase taxes to generate revenue.

Explorations of more oils, gas and coal reserves

Conservation of energy

resources

Weakness

Industries destroyed

Lack of investor

Economy slowdown

Recession

Unemployment increases

SWOT Analysis

Opportunities

Increase the number of IPPs (Independent Power Producers).

Monopolistic environment

Profitable for some business like generator, ups

Threats

Protest of general public

Vulnerabilities leading toward political instability

Lack of new projects but just seminars only

People buying power decreases

Recommendations

To overcome present energy crisis, Pakistan needs to take the following steps in form of:

1. Short Term Plan

2. Medium Term Plan

3. Long Term Plan.

Recommendations

1. Short Term Plan2. Medium Term Plan

3. Long Term Plan

Overhaul the existing poor distribution system

Import electricity

Government should have strict check

Recommendations

1. Short Term Plan

2. Medium Term Plan3. Long Term Plan

Transformation of existing system

Developing and installing solar, wind projects in villages

Recommendations

1. Short Term Plan

2. Medium Term Plan

3. Long Term Plan

Installing coal based powerhouses

Initiate agreements for mega projects

Explorations of more oil, gas and coal reserves

Conclusion

This study recommends Government of Pakistan to take strong

steps to overhaul its existing infrastructure and transformed it

to utilize renewable energy for future needs.

Government should also take steps to utilize the coal reserves

though it will give us energy for next 25 years.