Acute economic crises yet solution is a piece of cake.

Byline: RAZIUDDIN (RAZI)

Pakistan is going through serious economic crisis yet the solutions are within reach in a few month time. Of course, needless to say, mismanagement of the energy sector is one prime reason. Energy is lifeline of any economy. Energy not only makes an economy but breaks it too. Import bill of US$ 17 Billion (Jul-Mar 2022) has been in the limelight of crisis. Following steps are suggested for getting rid of economic crisis with in 1 year:

1. Get 7500 MW of Low Cost Solar via Net-Metering without of 1 MW Limit: GENCOs having installed capacity of 5782 MW have been derated to 3927 MW, a loss of 1855 MW. Kot Addu has been derated by 256 MW. Nuclear Plants have been derated by 100 MW. Miscellaneous IPPs have lost about 200 MW. Thus, about 2500 MW cannot produce a single Kwhr (unit). The Government may allow Net Metering of 7000 MW without limit of 1 MW on immediate basis. Net metering may be allowed via NEPRA Internet Portals within 10 working days, compliance based NOT approval based. The compliance may be made easy. Without any funds from Government or PSDP the country will get replacement of de-rated Power stations within 6 months' time. This will save the economy Rs 400 Billion annually (US$ 2 Billion annually).

2. Replace 70 Lowest Merit Order Units with Solar: There are 70 Power Generating Units producing between Rs 31 and 71/Kwhr; exorbitant indeed. In order to lower the overall cost of production, the Government may allow 10,000 MW Solar IPPs with an upfront tariff of Rs 12/Kwhr; no question asked. All approval may be made available via NEPRA Portal. This can be achieved within 1 year time with a saving of US$ 2.5 Billion annually without Government Funding AND lower Tariff.

3. Public Sector Street Lights ON Not during daylight: Public Street lights are turned ON 1 to 2 hours before sunset and remain ON 2 to 3 hours after sunrise in cities and towns. Pakistan consumes 385,000,000 Kwhr (Units). If Street lights are turned ON, 15 minutes after Maghrib Prayers and 45 Minutes after Fajr Azan, Pakistan would save 20% of 385,000,000 Kwhr (Units) at Rs 40/Kwhr or 385,000,000 Kwhr x 0.2 x Rs 40/Kwhr = Rs 3 Billion annually.

4. Introduction of Regular Plus (Euro-II/RON 82) Petrol: This grade of Petrol can be introduced on immediate basis for 20 Million Motorcycles and 1 Million old cars. This will save Foreign Exchange of USD 1 Billion annually and provide low cost Petrol to the Motorcyclist and old car owners without any...