STAFF REPORT IBD: The inefficient electricity production and chronic line losses have been the root cause of the energy crisis in Karachi Electric Supply company (KESC) mostly because of inept national power regulator NEPRA, reveals a recent study conducted by Sustainable Development Policy Institute (SDPI).
“The only way out of this crisis is to invest and buy affordable electricity from hydro power, improve fuel efficiency of power plants and introduce smart grid with advanced metering system,” the report Pakistan Power Outlook: Appraisal of KESC after Privatization suggests.
The report underpins the causes of chaotic energy situation in Pakistan while discussing KESC as a case study. The findings, conclusions and recommendations of the report are equally applicable to all thermal power plants of the country, the author claims.
“In the case of KESC, regulatory role of NEPRA and non-existence monitoring mechanism at the Ministry of Water and Power became one of the main causes behind the current energy crisis,” it added.
It adds that role of NEPRA have curtailed only to tariff determination which can be done through a simple software application.
The report calls upon NEPRA to broaden its role from tariff determination to formulate standards, regulate energy sector, give incentives for improving fuel efficiency and play its due role in addressing energy crisis in Pakistan.