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Rpp Rental Power Plants

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Rpp Rental Power Plants
THE PROS AND CONS OF RENTAL POWER IN PAKISTAN

INTRODUCTION

WHAT IS THE PROBLEM?
Pakistan has around 20,000 MW of electricity production, but it falls short, it falls short of nearly 4,000 MWs which results in a lot of ways i.e. Load shedding (scheduled and unscheduled), low voltage, missing phases and massive breakdowns. The government has been watched taking actions for this problem, but there has not been any real solution that came across the vision of public. Present government has failed to anticipate and expand the growth and the supply-demand gap is increasing day by day. Many proposals have been delayed and/or cancelled, some were neglected intentionally. The constructions of dams have also been postponed due to political matters so we have also failed to produce hydro power. And due to lack of investment and failing in maintenance in the existing independent power plants (IPP) is now resulting in outdated power plants and they are producing lesser MWs as days go by. All this maybe because of we are facing losses due to rampant electricity theft and its not being controlled. Analysts say that line losses have gone upto 30-40 percent. According to another analyst there is a myth that many IPPs operate lower than their capacity because they are not able to pay for furnace oil since PEPCO is already in huge debts. This crisis has been around for ages and there has not been any wise decision taken over it by the government of Pakistan. So, still, the big news is that we are short of electricity.

WHAT IS BEING DONE TO ENHANCE SUPPLIES?
The present government needs huge finances to settle this problem and for that they have reached an agreement with the World Bank and Asian Development Bank to phase in power tariff increases. The government is thinking on a multi-branched strategy to address the problem through building new dams and setting up new permanent power plants. It sees Rental Power Plants (RPPs) as the only solution, while completing medium

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