Pakistan ranked third in the world by adding nearly 2,500 MW of hydropower in 2018, according to Hydropower Status Report 2019. China added the most capacity with the installation of 8,540 megawatts, followed by Brazil (3,866 MW), Pakistan (2,487 MW), Turkey (1,085 MW), Angola (668 MW), Tajikistan (605 MW), Ecuador (556 MW), India (535 MW), Norway (419 MW) and Canada (401 MW).
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New Installed Hydroelectric Power Capacity in 2018. Source: Hydroworld.com |
Pakistan's Water and Power Development Authority (WAPDA) says commissioning of the 108-MW Golen Gol 2, 1,410-MW Tarbela 4th Extension and 969-MW Neelum Jhelum hydropower projects in 2018 boosted its hydroelectric generating capacity of 9,389 MW, an increase of 36% in just one year, according to Hydro Review. Hydropower now makes up about 28% of the total installed capacity of 33,836 MW as of February, 2019. WAPDA reports contributing 25.63 billion units of hydroelectricity to the national grid during the year, “despite the fact that water flows in 2018 remained historically low.” This contribution “greatly helped the country in meeting electricity needs and lowering the electricity tariff for the consumers.”
Top 20 Countries by Newly Installed Hydropower Capacity. Source: IHA |
Pakistan has the potential to generate 59,000 MW of hydropower, according to studies conducted by the nation's Water and Power Development Authority (WAPDA). Currently, it's generating only 9,389 MW of hydroelectric power, about 16% of the estimated potential. Media reports indicate that China is prepared to finance and build another 40,000MW capacity as part of the development of the Northern Indus Cascade region which begins in Skardu in Gilgit-Baltistan and runs through to Tarbela, the site of Pakistan’s biggest dam, in Khyber-Pakhtunkhwa province.
Pakistan Power Generation Fuel Mix. Source: Third Pole |
Riaz Haq
Combined capacity of 10 biggest #BRI #power projects funded by #China is 20.97GW, out of which #Pakistan’s share is 9.57GW (45%): Suki Kinari #Hydro, Quaid-e-Azam #Solar, Kohala Hydel , Thar #Coal, CPHGC Hub Power. Sahiwal Coal, Port Qasim. #CPEC https://www.power-technology.com/features/biggest-power-plants-chin...
Eight of the ten biggest power projects under China’s ambitious Belt and Road Initiative (BRI) as of 2019 are in Pakistan, within the China Pakistan Economic Corridor (CPEC). The combined capacity of the ten biggest BRI power projects is 20.97GW, out of which Pakistan’s share is 9.57GW (45%). Power-technology lists the biggest power projects under the BRI, based on capacity.
May 16, 2019
Riaz Haq
#India (rank 8) falls behind #Pakistan (rank 3) among top 10 countries by new #hydropower capacity added in 2018. #India added only 535 megawatt (MW) in 2018, as compared to Pakistan’s 2,487 MW in 2018. #power #electricity ET EnergyWorld https://energy.economictimes.indiatimes.com/news/renewable/india-fa...
Out of the top 20 countries, China topped the list with the highest installation of 8,540 MW, followed by Brazil at second position with 3,866 MW.
Pakistan was ranked third, followed by Turkey with 1,085 MW new capacity addition and Angola with 668 MW, the report titled ‘2019 Hydropower Status Report’ showed.
The bottom five comprised Tajikistan at 605 MW, Ecuador at 556 MW, India with 535 MW, Norway with 419 MW and Canada with 401 MW, according to the report by the International Hydropower Association.
“Electricity generation from hydropower projects achieved a record estimated 4,200 terawatt hours (TWh) in 2018, the highest-ever contribution from a renewable energy source. Worldwide installed hydropower capacity climbed to 1,292 GW,” the report added.
Pumped hydropower storage capacity reached 160.3 gigawatt (GW) in 2018, up from 1.9 GW in 2017, it said. In total, at least 48 countries worldwide added hydropower capacity in 2018.
“Four years on since the Sustainable Development Goals were agreed at the United Nations in 2015, governments increasingly recognise hydropower as playing a vital role in national strategies for delivering affordable and clean electricity, managing freshwater, combating climate change and improving livelihoods,” said IHA Chief Executive Richard Taylor and IHA President Ken Adams.
More than 21.8 GW of renewable hydroelectric capacity was put into operation in 2018, according to the report.
May 20, 2019
Riaz Haq
#Chinese VP visits Pakistan. #China #Pakistan launch 4 joint projects: 660kv Matiari-#Lahore transmission line to carry 2000 MW, Rashakai Special Economic Zone in KP, #Huawei Technical Support Center, Confucius Institute at the University of #Punjab. #CPEC https://www.geo.tv/latest/238443-pm-khan-chinese-vp-launch-four-meg...
Prime Minister Imran Khan and Chinese Vice President Wang Qishan Sunday launched four mega development projects in the fields of energy, technology, and education under the China-Pakistan Economic Corridor (CPEC).
The dignitaries unveiled the plaques of the four projects at a ceremony held here in the capital during the three-day visit of the Chinese VP. It was also attended by Foreign Minister Shah Mahmood Qureshi, Planning Minister Khusro Bakhtiar, Finance Advisor Abdul Hafeez Sheikh, and members of the Chinese delegation.
Under the first project, a transmission line of 660kv would be laid between Matiari and Lahore to transmit power from coal-based plants located at Thar, Port Qasim, and Hub. It would have the capacity to supply 2000 MW with 10 percent overloaded capability for two hours.
The two leaders unveiled the plaque for Rashakai Special Economic Zone (RSEZ) project to promote industrialisation through optimally priced, world-class industrial infrastructure in Khyber Pakhtunkhwa.
The RSEZ is situated centrally in the CPEC at the junction of Karakoram Corridor and ML-1 development corridor. It is set to become — and will be designed — to be the key trade and logistics hub connecting Kashgar, Kabul, and Gwadar on the Belt and Road and a high-end host of international commercial, technological, and manufacturing hub.
The two leaders inaugurated the Confucious Institute at the University of Punjab. The institute mainly provides Chinese education, cultural promotion and exchanges, and other projects and activities.
The ceremony also marked the launching of Huawei Technical Support Center to be established in Pakistan as part of Chinese tech giant’s commitment to make massive investment in Pakistan.
May 26, 2019
Riaz Haq
4.557 Million Acre Feet of #Water Storage Capacity Added In #Pakistan in Last 10 Years. 2.880 MAF in #Mangla Raising, 0.892 MAF Gomal Zam, 0.053 MAF Satpara, 0.089 MAF Darawat, 0.152 MAF Mirani, 0.014 MAF Sabakzai, Other #Dams: 0.278 MAF.
https://www.urdupoint.com/en/pakistan/4557-maf-water-storage-capaci...
The government is actively working for development of small, medium and large water storage reservoirs in the country and added 4.557 million acre feet (MAF) storage capacity during last 10 years.
Giving the details, officials sources told APP here on Friday, that some 2.880 MAF was added through Mangla Raising dam, 0.892 MAF Gomal Zam dam, 0.053 MAF Satpara dam, 0.089 MAF Darawat dam, 0.152 MAF Mirani dam and 0.014 MAF Sabakzai dams.
Similarly, 0.278 MAF water storage capacity has also been added by constructing various small dams during said period, they said.
The projects included 0.087 MAF ISSO Barriers Sindh, 0.014 MAF Palai, Kundal, KP, 0.021 MAF 20 small dams, KP, 0.032 MAF reconstruction of Shadi Kaur dam, 0.039 MAF and 0.068 MAF 100 delay action dams (Balochistan) and 0.
068 MAF rehabilitation of Akra Kaur dam Balochistan.
They said the government has already acquired 85 per cent land for Diamer Basha dam which would store 6.4 MAF. A sum of Rs 2000 million has also been allocated for Mohmand dam which would store 0.676 MAF water.
The sources said a storage capacity of 4.965 MAF of existing reservoirs had been lost due to sedimentation. Studies showed that additional 0.75 MAF would be lost due to sedimentation by 2025, they said.
They said additional reservoirs were required for inter season and inter year transfer of water.
They said that per capita water availability in the Pakistan was 5,260 cubic meter per annum in 1951 which had been reduced to 908 cubic meters per annum in 2018 due to ever increasing trend of populations.
Jun 2, 2019
Riaz Haq
#Engro #Energy to build 200 MW #solar in #Balochistan #Pakistan. According to the filings, the company plans to invest a total of USD 144 million (EUR 127.8m) in four farms and finance them with a combination of debt and equity at a ratio of 80:20. https://renewablesnow.com/news/engro-energy-applies-for-licence-for...
Pakistani power sector regulator NEPRA is considering to grant a generation licence to local developer Engro Energy Limited for four solar photovoltaic (PV) farms totalling 200 MW in the province of Balochistan.
NEPRA admitted on Wednesday four applications for the proposed projects, named Kuchlak-I, Kuchlak-II, Kuchlak-III and Kuchlak-IV, of 50 MW each. According to the filings, Engro Energy plans to invest a total of USD 144 million (EUR 127.8m) in the four farms and finance them with a combination of debt and equity at a ratio of 80:20.
The next step in the process is a 14-day period during which all stakeholders and interested and affected parties will comment on the generation licences.
If Engro Energy receives all necessary approvals, the Kuchlak PV farms will be constructed near the namesake town in Balochistan and commissioned in June 2020.
(USD 1.0 = EUR 0.89)
Jun 16, 2019
Riaz Haq
#Hydropower accounts for more than 18% of all #renewable #energy employment worldwide. #China at 15%, #Brazil at 10%, #Vietnam at 6%, #Pakistan at 5%, the #EuropeanUnion and #Russian Federation at 4% each, and #Iran and the #US at 3% each.- HydroWorld
https://www.hydroworld.com/articles/2019/06/hydropower-accounts-for...
Worldwide, the renewable energy technologies sector employed 11 million people at the end of 2018, according to the Renewable Energy and Jobs – Annual Review 2019 from the International Renewable Energy Agency (IRENA).
Leading markets like China, the U.S. and the EU hosted the greatest concentration of jobs in renewables, IRENA says.
The report says hydropower has the largest installed capacity of all renewables, accounting for almost 50% of renewable energy in the world, but is now expanding slowly. The sector employs 2.05 million people, directly, nearly three quarters of whom are in operations and maintenance. Construction and installation represent 23% of the total. Manufacturing is characterized by lower labor intensity and contributes 5%. Employment in the hydro sector has grown from 1.66 million in 2012.
By country, India accounts for 17% of the total employment, followed by China at 15%, Brazil at 10%, Vietnam at 6%, Pakistan at 5%, the European Union and Russian Federation at 4% each, and Iran and the U.S. at 3% each.
IRENA points out that previous editions of this report provided separate employment estimates for small and large hydropower. However, this edition combines both as “differentiating between them is difficult because of the scarcity of data and for lack of a universally agreed threshold.”
With regard to trade and supply chain dynamics, the report says that for hydropower, China represented a quarter of global exports, while European firms commanded a 46% share and the U.S. and India contributed just under 5% each.
The report also covers tide, wave and ocean energy, with 1 million jobs in 2018.
IRENA is an intergovernmental organization that supports countries in their transition to a sustainable energy future and promotes the widespread adoption and sustainable use of all forms of renewable energy, including bio-energy, geothermal, hydropower, ocean, solar and wind energy.
Jun 18, 2019
Riaz Haq
#Pakistan's #Karachi #nuclear #power plant (KANUPP), is undergoing a $10 billion 2,200MW capacity extension, with two 1,100MW pressurized water #reactor (PWR) units. Project includes 220kV and 550kV transmission lines to connect it to the national #grid. https://www.power-technology.com/projects/karachi-nuclear-power-pla...
Pakistan’s first nuclear plant, Karachi nuclear power plant (Kanupp), is undergoing a 2,200MW capacity extension, with two 1,100MW pressurised water reactor (PWR) units of Chinese design under construction at the site.
The $10bn project is being built with financial assistance from China, the biggest energy and infrastructure investor in Pakistan.
Karachi nuclear power plant is located on the Arabian Sea coast, approximately 18km east of Karachi and has been in service with a single 137MW reactor unit (Kanupp-1) since 1972. It is owned and operated by Pakistan Atomic Energy Commission (PAEC).
Construction of the Kanupp-2 and Kanupp-3 reactor units started in August 2015 and May 2016, with the start of commercial operations scheduled for 2021 and 2022, respectively.
Reactor units will have a design life of 60 years and account for roughly 10% of the country’s total generation capacity.
Karachi nuclear power plant’s new units and reactor design details
Kanupp-2 and Kanupp-3 will each consist of a nuclear island, conventional island, and balance of plant.
Each nuclear island will house a Hualong One or HPR1000 (formerly ACP-1000) reactor from China.
The HPR1000 is a generation III+ three-loop PWR based on the design improvements over the China General Nuclear Power Group (CGN)’s ACPR-1000 and China National Nuclear Corporation (CNNC)’s ACP-1000 reactor models.
In 2014, the Chinese Government asked the two state-owned reactor builders to merge their two third-generation reactor designs and to market as a unified Chinese brand abroad.
“Reactor units will have a design life of 60 years and account for roughly 10% of the country’s total generation capacity.”
The Hualong One advanced reactor design comes with a single stack layout, 177 nuclear fuel assemblies, a double containment structure, and a combination of active and passive safety systems.
Each new reactor unit at Kanupp will have 1,100MWe gross electrical output and 3,060MWt gross thermal output.
The reactors are designed to provide emergency cooling for 72 hours in the absence of electricity supply.
The International Atomic Energy Agency (IAEA) completed the Generic Reactor Safety Review (GRSR) of the HPR1000 reactor in January 2015.
The Fangchenggang nuclear power plant (NPP) in the Guangxi province, China, and the Fuqing NPP in the Fujian Province, China, are also being built with two HPR1000 units each.
Financing for Karachi nuclear power plant expansion
More than 80% of the estimated project cost is being financed through a loan from China’s state-owned Export-Import (Exim) Bank.
The remaining cost is being funded by the Public Sector Development Programme (PSDP) of the Pakistan Government.
Electricity transmission
The electricity transmission infrastructure works for the Karachi nuclear power plant expansion include the development of 220kV and 550kV transmission lines connecting to the national grid.
The National Transmission and Despatch Company (NTDC) of Pakistan will be responsible for the construction, operation and maintenance of the electricity transmission infrastructure for the project.
Contractors involved
China National Nuclear Corporation (CNNC) is involved as the general contractor and reactor supplier for the project through its overseas nuclear project platform China Zhongyuan Engineering Corporation (CZEC).
The reactors are jointly developed by CNNC and China General Nuclear Power Corporation (CGN) using the ACP-1000 technology.
Jun 22, 2019
Riaz Haq
Pakistan inaugurates 5th nuclear power plant to solve energy crisis
Will receive a major energy boost as the ‘new plant will generate 340MW of electricity’
https://gulfnews.com/world/asia/pakistan/pakistan-inaugurates-5th-n...
Pakistan launched its fifth nuclear power plant on Friday to meet the growing demands of energy in the nation.
Pakistan will receive a major energy boost as the “new plant will generate 340 megawatt (MW) of electricity”, Prime Minister Shahid Khaqan Abbasi announced as he inaugurated the plant in Mianwali in the province of Punjab.
Chashma Nuclear Power Plant Unit-4 (C-4) would be operational and connected to the country’s power grid with tremendous effort from Pakistan Atomic Energy Commission (PAEC) and China. The plant would pass through various functional and safety-related tests at full power.
The successful operation of Chashma Nuclear Power Plant Unit-4 would be a landmark achievement of PAEC’s, effectively pursuing its vision of nuclear technology for peaceful purposes.
Addressing the inaugural ceremony of the plant, Abbasi said the project would help the country’s energy problem.
Pakistan’s government is committed to achieving the goal of adding 8,800MW of nuclear energy to the national grid by 2030, he said.
The nuclear power plants in the country have contributed greatly to providing cheap electricity to the energy-starved nation.
“The Chashma nuclear power projects units C-1, C-2 and C-3 have been successfully contributing to the national grid with an excellent performance since 2000, 2011 and 2016 respectively,” PM Abbasi noted.
In his speech, Abbasi thanked the government of China for its cooperation, saying the projects could not have been completed without the support of Chinese people and the government.
Referring to China — Pakistan Economic Corridor projects, he said the fruits of the government’s endeavours have started reaching people with a network of roads being spread across the country and the development of Gwadar and Thar Coal. The ongoing projects are being expedited and will be completed by June next year.
Pakistan is also building two more nuclear power plants in Karachi, known as K-2 and K-3, which are scheduled to be operational in 2020 and 2021 respectively and will add 2,200MW electricity to the national grid.
More power generation projects would be launched in Chashma and Muzaffarabad areas, the PM said, expressing hope that the gross domestic product (GDP) growth rate will reach more than 6 per cent by next year.
Abbasi also said the energy projects, of more than 10,000MW, by the Pakistan Muslim League (Nawaz) government have helped overcome load-shedding, and the government will be able to end the problem by November 2017.
Currently, Pakistan’s four nuclear power plants — KANUPP, C-1, C-2 and C-3 — are generating a total of 1,030MW of power, which will be enhanced with the inauguration of the C-4 Chashma plant.
Jun 22, 2019
Riaz Haq
China tops out Hualong One nuclear plant in Pakistan
20 June 2019
http://www.globalconstructionreview.com/news/china-tops-out-hualong...
Right on schedule, China National Nuclear Corporation (CNNC) this week successfully lifted the large outer containment dome into place at Karachi Unit 2 in Pakistan.
It is the overseas debut of China’s homegrown third-generation HPR1000 reactor design, known as the Hualong One, which is currently being assessed for the new Bradwell B nuclear power station in Essex, UK.
In Karachi, ground broke in November 2012, and China lent $6.5bn to Pakistan to help fund the $9.6bn project.
State-owned CNNC said the milestone, achieved 17 June, marks the end of general construction on Karachi Unit 2, and will be followed by containment and heat tests.
The project is scheduled for completion next year, reports have said.
The HPR1000, China’s self-developed third-generation nuclear power technology, has a double containment design, with the outer containment providing secondary protection.
The outer dome is a 366-ton multi-surface shell made up of 63 prescribed components, the company said.
CNNC has four HPR1000 units under construction around the world, which make up the world’s only third-generation pressurised water reactor nuclear power project constructed according to schedule.
The HPR1000 reactor for Bradwell B in the UK, developed by another Chinese nuclear company, CGN, and France’s EDF, has reached Step 3 in the design assessment process that began in 2017.
Jun 22, 2019
Riaz Haq
The investment is spread over 17 power generation projects and one HVDC transmission project. Chinese companies, under CPEC, will be working on four wind power projects of 300 MW capacity, one solar power project of 900 MW, three hydro power projects of 2,714 MW, five coal projects in Thar Sindh of 3,960 MW and four imported coal projects of 4,260 MW in total, along with a ±660 kV HVDC transmission line between Sindh and Punjab. These projects are of strategic importance for China to expand its influence in the region. Working with Pakistan enables shorter supply routes and quick development of the western province of Xinjiang (capital Kashgar).
http://www.chinadaily.com.cn/a/201808/31/WS5b88e0d5a310add14f388e63...
One of the key projects in CPEC is the ±660 kV Bipolar Matiari-Lahore HVDC transmission line project, which will transmit 4,000 MW of electricity. This project is the first ever HVDC transmission line in Pakistan and it will also be the first transmission line project in the country being developed by the private sector. Previously all the transmission work was carried out by TSO, National Transmission Dispatch Company (NTDC), itself. The project includes two converter stations and two electrode-grounding stations at Matiari/Lahore, three repeater stations and a transmission line. This connection will evacuate 4,000 MW of electricity power from seven projects under CPEC: 1,320 MW Port-Qasim Coal Project (Karachi), 1,320 MW Shanghai Electric Coal Project (Thar), 660 MW Engro Coal Project (Thar), 1,320 MW HUBCO Coal Project (Baluchistan) and 330 MW Siddique Sons Energy (Karachi). 1,320 MW Port-Qasim Coal Project Karachi’s Phase-I of 660 MW would be functioning by 2018 and Phase-II of same capacity would be on the grid by 2020. 1,320 MW Shanghai Electric Coal Project with Phase-I & II of 660 MW each would be completed in 2018 and 2020 respectively. Engro Coal Project Unit I & II, 330 MW each, would be functioning fully in 2019 and 1,320 MW HUBCO Coal Project would be completed by 2020.
A significant module of CPEC is the industrial collaboration that foresees to fully benefit from the demographic and natural endowment of the country and enhancing its industrial capability through creation of new industrial clusters, while balancing the regional socioeconomic development, enhancing people’s wellbeing, and promoting domestic peace and stability. In the past five years, China-Pakistan trade has continued to grow rapidly, with an annual growth rate of 18.8% on average; bilateral investment also has been soaring, and China has become one of the biggest sources of foreign capital for Pakistan. International economic and technological cooperation has shown strong momentum, expanding into more areas while social and people-to-people exchange has increased at parallel. The orderly and timely flow of economic factors in both countries along the CPEC will significantly improve the resource allocation efficiency and bring into full play the comparative advantage of each country with respect to the industrial sector specifically.
Jun 22, 2019
Riaz Haq
Energy-short Pakistan moves to power up solar manufacturing
by Imran Mukhtar
http://news.trust.org/item/20190129014107-j2o45/
Pakistan today imports more than 95 percent of the solar panels and other renewable energy systems it uses, largely from China, said Aamir Hussain, chief executive officer of Tesla PV, one of the largest manufacturers of solar energy products in Pakistan.
"As long as the government will not impose duties on the import of finished products, the local market cannot grow," he said.
Amjad Ali Awan, chief executive officer of the Alternate Energy Development Board, said the aim of the new policies was for renewable energy to supply 28 to 30 percent of the country's national electrical grid by 2030.
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PAKISTAN TO SET 30% PLUS 30% RENEWABLE ENERGY TARGET BY 2030
https://wwindea.org/blog/2019/04/02/pakistan-to-set-30-plus-30-rene...
The new government in Pakistan plans to increase the share of renewable energy in total power generation to 30% by 2030, referring to power from wind, solar, small hydro and biomass. In addition, there is a target of 30% large scale hydropower (more than 50 MW). Currently, the share of renewable energy stands at meagre 4% which is quite negligible despite the fact that the country holds huge renewable energy potential particularly wind and solar. Large hydro provides currently around one fourth of the country’s electricity supply.
During the last week of February, The Cabinet Committee on Energy (CCoE), chaired by the Finance Minister, approved proposals from the Ministry of Energy (Power Division) for all future renewable energy projects to be treated under the Renewable Energy Policy 2019. The new policy, whose guiding principles have already been approved by CCoE, is being reviewed by different stakeholders and will be formally taken by CCoE later.
CCoE decided to permit renewable energy projects that have letter of support issued by Alternative Energy Development Board to proceed towards achieving their required milestones in accordance to Renewable Energy Policy 2006. The decision marks a positive effort by the government which seems to favour renewable energy deployment in the future. In addition, the Power Minister last week announced to take the share of renewable energy at 30% in the total power mix of Pakistan by 2030. Similarly, the government plans to take the share of hydro power to 30% by the same period that would translate into 60% overall share of renewable energy in the total power mix of the country. Targets set by the government are quite remarkable and in line with international climate change commitments. Such a practice sets example for other developing countries to follow.
Air Marshall Shahid Hamid (Retd.), Honorary Vice President of WWEA and Chair of WWEA Pakistan: “It is quite encouraging to observe that the government plans to set higher targets for renewable energy deployment for which we have been advocating for over a decade now. The main mission of WWEA Pakistan Office is to create a bridge between the efforts of the government, the private sector and development partners to advance renewable energy development in the country and beyond. WWEA will play its part in establishing concrete roadmap for smooth transition towards achieving the target of 30% renewable energy in Pakistan by 2030.”
Jun 22, 2019
Riaz Haq
#WorldBank: #Pakistan among the world’s top 20 counties for #renewableenergy. WB Energy Progress Report 2019 says renewable share in Pakistan exceeded the global average of 17.5 percent in 2016 due to traditional uses of #biomass for cooking. https://www.thenews.com.pk/print/476288-pakistan-s-renewable-shares...
Share of renewable energy has surpassed the global average in Pakistan – one of the world’s top 20 counties accounting for three quarters of the global energy demand, but with more than a quarter of the population without access to electricity, the World Bank said on Saturday.
The World Bank in the Energy Progress Report 2019 said renewable share in Pakistan crossed over the global average of 17.5 percent in 2016 due to traditional uses of biomass for cooking.
The World Bank said Pakistan was among the top 20 energy consumers globally that represent only two-thirds of renewable energy consumption. Of them, six countries have renewable shares crossed the global average, according to the World Bank’s report covering the 2010-2017 period. Traditional uses of biomass too dominated the renewable consumption in India, Indonesia and Nigeria. Modern uses of biomass were most prevalent in Brazil and hydropower in Canada.
The World Bank said Pakistan has seen a rapid increase in annual access to electricity and clean fuel between 2010 and 2017, though it is still one of the countries with the lowest electrification rates.
The World Bank said the country saw more than one percent increase in electrification during the period, which was one the “rapid annual access gains” among the world’s top 20 access-deficit countries. Comparatively, Vietnam and Indonesia recorded more than three percent growth in access between 2010 and 2017, while Sudan, Afghanistan, and Myanmar registered over two percent increase in access of their populations to electricity.
“In a majority of the top 20 access-deficit countries, the electrification rate between 2010 and 2017 did not keep pace with population growth during the same period,” the World Bank said. The top 20 energy consumers account for three-quarters of global energy demand.
The World Bank said the total access rate in Pakistan’s urban centres was 100 percent, but it was 54 percent in rural areas. More than 58 million people are living without access to electricity in the country compared with 99 million in India and 20 million in Bangladesh. Together the three countries have un-served population less than four million of 181 million in the rest of the world.
“Some of the countries with un-served populations of over 50 million in 2017—like the Democratic Republic of Congo, Nigeria, and Pakistan—have electrified less than 1 percentage point of their population annually since 2010,” the World Bank said in the report prepared in collaboration with the International Energy Agency, the International Renewable Energy Agency, the United Nations Statistics Division and the World Health Organization.
Jun 23, 2019
Riaz Haq
Steep decline in #nuclearpower threatens energy security and #climate goals. , At 10% of all #electricity generated globally, #nuclear is the 2nd largest source of low-#carbon #energy after #Hydro which produces 16% of electricity. https://www.iea.org/newsroom/news/2019/may/steep-decline-in-nuclear... via @IEA
With its mission to cover all fuels and technologies, the IEA hopes that the publication of its first report addressing nuclear power in nearly two decades will help bring the topic back into the global energy debate. The report is being released during the 10th Clean Energy Ministerial in Vancouver, Canada.
“Without an important contribution from nuclear power, the global energy transition will be that much harder,” said Dr Fatih Birol, the IEA’s Executive Director. “Alongside renewables, energy efficiency and other innovative technologies, nuclear can make a significant contribution to achieving sustainable energy goals and enhancing energy security. But unless the barriers it faces are overcome, its role will soon be on a steep decline worldwide, particularly in the United States, Europe and Japan.”
The new report finds that extending the operational life of existing nuclear plants requires substantial capital investment. But its cost is competitive with other electricity generation technologies, including new solar and wind projects, and can lead to a more secure, less disruptive energy transition.
Market conditions remain unfavourable, however, for lengthening the lifetimes of nuclear plants. An extended period of low wholesale electricity prices in most advanced economies has sharply reduced or eliminated profit margins for many technologies, putting nuclear plants at risk of shutting down early.
In the United States, for example, some 90 reactors have 60-year operating licenses, yet several have already retired early and many more are at risk. In Europe, Japan and other advanced economies, extensions of plants’ lifetimes also face uncertain prospects.
Investment in new nuclear projects in advanced economies is even more difficult. New projects planned in Finland, France and the United States are not yet in service and have faced major cost overruns. Korea has been an important exception, with a record of completing construction of new projects on time and on budget, though government policy aims to end new nuclear construction.
A sharp decline in nuclear power capacity in advanced economies would have major implications. Without additional lifetime extensions and new builds, achieving key sustainable energy goals, including international climate targets, would become more difficult and expensive.
If other low-carbon sources, namely wind and solar PV, are to fill the shortfall in nuclear, their deployment would have to accelerate to an unprecedented level. In the past 20 years, wind and solar PV capacity has increased by about 580 gigawatts in advanced economies. But over the next 20 years, nearly five times that amount would need to be added. Such a drastic increase in renewable power generation would create serious challenges in integrating the new sources into the broader energy system. Clean energy transitions in advanced economies would also require $1.6 trillion in additional investment over the same period, which would end up hurting consumers through higher electricity bills.
Jul 4, 2019
Riaz Haq
Pakistan to set 30 percent plus 30 percent Renewable Energy Target by 2030
The new government in Pakistan plans to increase the share of renewable energy in total power generation to 30 percent by 2030, particularly power from wind, solar, small hydro and biomass, with an additional 30 percent from large scale hydropower.
https://www.renewableenergymagazine.com/panorama/pakistan-to-set-30...
Currently, the share of renewable energy stands at a meagre 4 percent, despite the fact that the country holds huge renewable energy potential particularly wind and solar. Large hydro currently provides around a fourth of the country’s electricity supply.
During the last week of February, The Cabinet Committee on Energy (CCoE), chaired by the Finance Minister, approved proposals from the Ministry of Energy (Power Division) for all future renewable energy projects to be treated under the Renewable Energy Policy 2019. The new policy, whose guiding principles have already been approved by CCoE, is being reviewed by different stakeholders and will be formally taken by CCoE later.
CCoE decided to permit renewable energy projects possessing a letter of support from the Alternative Energy Development Board to proceed towards achieving their required milestones in accordance with the Renewable Energy Policy 2006. The decision marks a positive effort by the government, which favours future renewable energy deployment. The Power Minister announced last week that the country will raise the share of renewable energy in the total power mix to 30 percent by 2030. The government also plans to increase the share of hydro power to 30 percent by the same period. This would translate into 60 percent overall share of renewable energy in the total power mix of the country. The targets set by the government are significant and in line with international climate change commitments, setting an example for other developing countries to follow.
“It is quite encouraging to observe that the government plans to set higher targets for renewable energy deployment for which he have been advocating for over a decade now” said Air Marshall Shahid Hamid (Retd.), Honorary Vice President of WWEA and Chair of WWEA Pakistan. “The main mission of WWEA Pakistan Office is to create a bridge between the efforts of the government, the private sector and development partners to advance renewable energy development in the country and beyond. WWEA will play its part in establishing concrete roadmap for smooth transition towards achieving the target of 30 percent renewable energy in Pakistan by 2030.”
The announcement comes against the backdrop of WWEA’s successful 17th World Wind Energy Conference that was organised in November 2018 in Karachi where more than 600 participants from 30 countries participated. The conference objectives included, inter alia, reviving blocked renewable energy projects in Pakistan and asking the government to set a fresh trajectory for renewable energy development in the country to meet its growing energy demands without aggravating climate change risks.
The government’s plan to generate around 18,000 MW of renewable energy by 2030 could hit a roadblock in the shape of a pipeline of more than 5 GW of coal fired projects. The previous renewable energy policy of 2006 provided multiple incentives to the private sector to develop renewable energy projects. However, the policy stopped short of achieving desirable results due to the absence of an action plan complementing the policy framework. The new policy should follow a strategic plan of action by creating a favourable environment for coordination mechanism between various departments dealing the renewable energy sector.
WWEA Secretary General Stefan Gsänger added that the groundbreaking decision to increase the renewable energy share to 30 percent plus 30 percent will bring Pakistan to the forefront of renewable energy countries. Such focus on a renewable energy based economy will be very beneficial for the country, its citizens, its industry and its environment.
Jul 4, 2019
Riaz Haq
Pakistan Nuclear Power Profile
https://cnpp.iaea.org/countryprofiles/Pakistan/Pakistan.htm
Energy supply statistics are given in Table 2. During the past decade (2007–2017), indigenous oil production has been at a level of about 64 000–95 000 barrels per day (equivalent to about 17–21% of the country’s oil consumption). Pakistan’s natural gas production in fiscal year 2016–17(1) was 4 032 million cubic feet per day.
In 2016–2017, coal production was 4.2 million t, while 7 million t of coal was imported to meet the industrial requirements of the country. The development of the coal mining industry in Pakistan, particularly for power generation, is hampered by constraints relating to the quality of coal, mining difficulties and other organizational constraints.
In 2016–2017, hydropower provided 26% of the electricity in Pakistan. Additional hydro projects varying in size, ranging from medium to micro, are under construction and the capacity of some existing hydro projects is being extended. Meanwhile, there are medium and large hydroelectric projects, awaiting official decision, are either proposed or are being planned.
Nuclear power generation contributed 6.2% to the total electricity generation of Pakistan in 2017. At present, the country has five operational nuclear power plants that have a cumulative generating capacity of 1 430 MW, while two reactors are under construction.
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Pakistan started construction of its first nuclear power plant, KANUPP, in 1966 in Karachi. The plant was connected to the national grid on 18 October 1972. KANUPP, a pressurized heavy water reactor of 137 MW gross capacity was constructed by Canadian General Electric under a turnkey contract. In 1976, vendor support for spare parts and fuel was withdrawn. The PAEC undertook the task of indigenously manufacturing the required spare parts and nuclear fuel on an emergency basis and, since 1980, KANUPP has successfully operated using fuel manufactured by the PAEC.
Despite the keen interest of Pakistan in building additional nuclear plants, it took more than two decades before the second nuclear power plant started construction. This delay was due to Pakistan’s lack of access to international nuclear technology coupled with a lack of indigenous industrial infrastructure. The construction of Pakistan’s second nuclear plant, C-1, a pressurized water reactor (PWR), was made possible in 1993 with the help of the China National Nuclear Corporation (CNNC). The plant was connected to the national grid on 13 June 2000 and has a gross capacity of 325 MW. A third nuclear power plant, C-2, with 325 MW gross capacity started commercial operation on 18 May 2011. The fourth unit, C-3, started commercial operation on 6 December 2016. It has a gross capacity of 340 MW and a similar plant, C-4, sited beside C-3, was connected to the grid on 25 June 2017. The first concrete pours to mark the start of construction of Karachi Coastal Power Project, a project containing two nuclear units, K-2 and K-3 (1100 MW each), based on an improved PWR design, were 20 August 2015 and 31 May 2016, respectively.
Jul 4, 2019
Riaz Haq
Hydropower accounts for more than 18% of all renewable energy employment worldwide
https://www.hydroworld.com/articles/2019/06/hydropower-accounts-for...
Worldwide, the renewable energy technologies sector employed 11 million people at the end of 2018, according to the Renewable Energy and Jobs – Annual Review 2019 from the International Renewable Energy Agency (IRENA).
Leading markets like China, the U.S. and the EU hosted the greatest concentration of jobs in renewables, IRENA says.
The report says hydropower has the largest installed capacity of all renewables, accounting for almost 50% of renewable energy in the world, but is now expanding slowly. The sector employs 2.05 million people, directly, nearly three quarters of whom are in operations and maintenance. Construction and installation represent 23% of the total. Manufacturing is characterized by lower labor intensity and contributes 5%. Employment in the hydro sector has grown from 1.66 million in 2012.
By country, India accounts for 17% of the total employment, followed by China at 15%, Brazil at 10%, Vietnam at 6%, Pakistan at 5%, the European Union and Russian Federation at 4% each, and Iran and the U.S. at 3% each.
IRENA points out that previous editions of this report provided separate employment estimates for small and large hydropower. However, this edition combines both as “differentiating between them is difficult because of the scarcity of data and for lack of a universally agreed threshold.”
With regard to trade and supply chain dynamics, the report says that for hydropower, China represented a quarter of global exports, while European firms commanded a 46% share and the U.S. and India contributed just under 5% each.
The report also covers tide, wave and ocean energy, with 1 million jobs in 2018.
IRENA is an intergovernmental organization that supports countries in their transition to a sustainable energy future and promotes the widespread adoption and sustainable use of all forms of renewable energy, including bio-energy, geothermal, hydropower, ocean, solar and wind energy.
Jul 7, 2019
Riaz Haq
World Bank to provide additional $700m for #Pakistan’s Dasu #hydropower project. It will produce 4,320 MW of #electricity at $0.03/kWh (down from current $0.08/kWh) and the power generated will mostly be supplied during the summers when the demand is high
https://www.power-technology.com/news/world-bank-to-provide-700m-mo...
The World Bank has agreed to provide additional financing for the Dasu Hydropower Stage I project in Pakistan.
The $700m loan will fund the transmission line for the first phase of the Dasu hydropower plant. Situated along the main Indus River, the plant will have an installed capacity of 2,160MW.
The International Bank for Reconstruction and Development (IBRD) will finance the project.
The Dasu Hydropower Stage II expansion plan is expected to increase the project’s capacity to 4,320MW.
World Bank Pakistan country director Illango Patchamuthu said: “Pakistan’s energy sector is aiming to move away from high-cost and inefficient fossil fuels towards low-cost, renewable energy to power the national grid.
“Along with reforms in the tariff structure, the Dasu hydropower project will result in fewer imports of fossil fuels, alleviating the stress on the country’s current account balance.”
The Dasu hydropower station will produce electricity at $0.03/kWh and the power generated will mostly be supplied during the summers when the demand is high.
The low-cost, renewable energy will supply affordable electricity to households as well as the manufacturing and agriculture sectors.
Currently, the average cost of electricity generation in the country stands at $0.08/kWh.
World Bank projects task team leader Rikard Liden said: “The Dasu hydropower plant has a low environmental footprint and is considered to be one of the best hydropower projects in the world.
“It will contribute to reducing Pakistan’s reliance on fossil-fuels and producing clean renewable energy.”
Apr 2, 2020
Riaz Haq
Azad #Kashmir: 102 MW Gulpur #hydropower plant starts production. The project financing has been provided by Korea Exim Bank, Asian Development Bank (ADB), International Finance Corporation (IFC), Islamic Development Bank and ECO Bank.https://profit.pakistantoday.com.pk/2020/07/08/102mw-gulpur-hydropo... via @Profitpk
Gulpur Hydropower Project has achieved certified commercial operation and has started producing cheap electricity for the national grid, said NESPAK Managing Director Dr Tahir Masood in a press communiqué on Wednesday.
NESPAK, in a joint venture with MWH Inc USA, has provided consultancy services as ‘owner’s engineer’ to Mira Power Limited, a subsidiary of KOSEP South Korea, for the 102MW Gulpur Hydropower Project.
“NESPAK has played a very vital role in the successful completion of Gulpur Hydropower Project, as it provided complete technical support to Mira Power Limited in getting approvals from different government agencies as well as supporting the EPC contractor in resolving complex issues that arose during construction,” said a statement issued by the company.
The successful completion of this project has added another feather in NESPAK’s cap, as the company had recently played a major role in the development and completion of 84MW New Bong Escape Hydropower Project.
Gulpur Hydropower Plant is a run-of-the-river hydroelectric generation project located on Poonch River, a major tributary of Jhelum River near Gulpur in Kotli District of Azad Kashmir. The project financing has been provided by Korea Exim Bank, Asian Development Bank (ADB), International Finance Corporation (IFC), Islamic Development Bank and ECO Bank.
The project is developed under the federal government’s ‘Policy for Power Generation Projects 2002’ as adopted in Azad Jammu & Kashmir.
The project has the capability of generating average annual energy of 102MW. It was developed in the shortest possible time and would play an important role in Pakistan’s national vision.
The project was completed at a total cost of Rs52 billion.
Jul 9, 2020
Riaz Haq
#CPEC Re-Emerges In #Pakistan With Flurry Of Major #China Deals: 2 #hydropower projects costing $3.9 billion, and another to revamp Pakistan's colonial-era railways for $7.2 billion -- the most expensive #Chinese project yet in Pakistan. https://www.ndtv.com/world-news/belt-and-road-re-emerges-in-pakista... via @ndtv
China's Belt and Road program has found new life in Pakistan with $11 billion worth of projects signed in the last month, driven by a former lieutenant general who has reinvigorated the infrastructure plan that's been languishing since Prime Minister Imran Khan took office two years ago.
The nations signed deals on June 25 and July 6 for two hydro-power generation projects costing $3.9 billion in the Pakistan-occupied Kashmir region, and another to revamp the South Asian nation's colonial-era railways for $7.2 billion -- the most expensive Chinese project yet in Pakistan.
Khan's government appointed Asim Saleem Bajwa last year to run the China-Pakistan Economic Corridor Authority, which oversees more than $70 billion in projects from power plants to highways.
He also joined Khan's cabinet in late April, becoming one of more than a dozen former and current military officials in prominent government roles as the army expands its influence in the country.
The Chinese financing has helped rid Pakistan of an electricity deficit that left exporters unable to meet orders and major cities without electricity for much of the day. Still, the implementation of some investments appeared to stall since Khan came to power, with no new projects announced in 2018 and very few in 2019.
Since Chinese President Xi Jinping launched the initiative in 2013, the World Bank estimates about $575 billion worth of energy plants, railways, roads, ports and other projects have been built or are in the works across the globe. Its progress has slowed recently, dogged by accusations that China is luring poor countries into debt traps for its own political and strategic gain.
"The reality is that much of CPEC, like the Belt and Road more broadly, has been paralyzed," said Jonathan Hillman, a senior fellow at the Center for Strategic and International Studies in Washington, referring to the China-Pakistan Economic Corridor. Pakistan "is a flagship for China's Belt and Road, so the need to show progress is even more important."
In a tweet last month, Bajwa said some detractors had given the "false impression" that CPEC had been slowed. Not only has the pace of work on projects picked up recently, but a great deal of ground work has been done to launch phase two of the project that also includes special economic zones to lure Chinese manufacturers, agriculture, science, technology and tourism, he wrote.
"The prime minister pushed very hard on this," said Abdul Razak Dawood, Khan's adviser on commerce and investments said by phone. "We feel that we have to get more and more hydro in our energy mix."
A spokesman in Bajwa's office said he was not immediately available to comment.
Little Progress
Pakistan's army is already responsible for securing every single Beijing-funded project scattered across the country, from the mountains near the Chinese border to the desert in Gwadar where the Chinese operate a port. Its role has become even more important following terrorist attacks on three Chinese-related projects in the past year.
"There is no doubt that PM Khan's arrival slowed the pace of CPEC projects," said Mosharraf Zaidi, a senior fellow at Islamabad-based think tank, Tabadlab, and a former principal advisor to the foreign ministry. "The renewed energy and approval we are now seeing is almost entirely likely due to the chairperson having settled in, and being added to Prime Minister Khan's cabinet."
Jul 16, 2020
Riaz Haq
#UN Chief calls on humanity to end war on nature, go carbon-free. Says “Apocalyptic fires and floods, cyclones and hurricanes are increasingly the new normal". #climatechange #fossilfuel #carbonemissions #GlobalWarming https://lasvegassun.com/news/2020/dec/02/un-calls-on-humanity-to-en... via @LasVegasSun
Governments in the Group of 20 major and emerging economies have so far committed more money to prop up fossil fuel sectors than to boost the rollout of renewable energy, the report found.
Co-author Ivetta Gerasimchuk of the International Institute for Sustainable Development said investing in oil, coal and gas no longer makes economic sense because renewable energy is becoming cheaper than fossil fuels. But, she said, “We see that instead of governments letting these fossil fuel projects die they resurrect them from the dead.”
The WMO’s report found global warming is worsening in all seven key climate indicators, but the problem is increasing human suffering in an already bad year.
“In 2020, over 50 million people have been doubly hit: by climate-related disasters (floods, droughts and storms) and the COVID-19 pandemic,’’ the report said. ”Countries in Central America are suffering from the triple-impact of hurricanes Eta and Iota, COVID-19 and pre-existing humanitarian crises.”
Among the dozens of extremes the report highlighted:
-- A record 30 Atlantic named tropical storms and hurricanes.
--Death Valley, California, hit 129.9 degrees (54.4 degrees Celsius), the hottest the world has seen in 80 years.
--Record wildfires struck California and Colorado in the western United States, following a major fire season and record heat in Australia.
--The Arctic had record wildfires and a prolonged heat wave culminating in a 100-degree mark (38 degrees Celsius) in Siberia in June.
--Record low Arctic sea ice was reported for April and August and the yearly minimum, in September, was the second lowest on record.
--More than 2,000 people died in record summer rains and flooding in Pakistan and surrounding nations.
While these events can’t solely be blamed on climate change, “these are the types of events scientists fear will increase due to climate change,” said Cornell University climate scientist Natalie Mahowald, who wasn’t part of the report.
“Human activities are at the root of our descent towards chaos,” Guterres said. “But that means human action can solve it.”
Dec 2, 2020
Riaz Haq
Overall, Pakistan attracted more than 50% of renewable energy investments (47% of which in hydropower), while Russia and Indonesia received predominantly fossil fuel related energy investments. (Green Belt and Road BRI Initiative)
https://green-bri.org/china-belt-and-road-initiative-bri-investment...
Among the BRI countries, investments were spread broadly across the continents. The countries that received most investments were Vietnam, Indonesia, Pakistan and Chile. Particularly Vietnam saw a strong increase of Chinese investments – an increase of over 200% compared to 2019, possibly driven by near-shoring to avoid American sanctions. Other BRI countries that saw increases of Chinese investments despite the COVID-19 pandemic include Poland, Bulgaria, Serbia, Zimbabwe, Zambia and Chile, as well as Thailand.
Analyzing Chinese energy investments in different countries, we find that Pakistan was the country, which received most energy investments from 2013 to 2020, followed by the Russian Federation and Indonesia. Pakistan is both the largest recipient of coal-related investments and also the largest recipient of investments in hydropower. Overall, Pakistan attracted more than 50% of renewable energy investments (47% of which in hydropower), while Russia and Indonesia received predominantly fossil fuel related energy investments.
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Rail: Rail investments included high-speed rail projects connecting China through Thailand and Malaysia to Singapore (Kunming-Singapore rail). A deal of the first 40km segment of the China-Thailand high-speed rail linking Bangkok to Thailand’s border with Laos was signed in December 2020. China is also building a US$6 bn high-speed rail connecting 142 km between Jakarta and Bandung in Indonesia. Furthermore, China has been engaged in building several railway projects on the African continent (e.g. Standard Gauge Railways in Kenya and Ethiopia). China also invested in rail in Europe, such as the Budapest-Belgrade railway. China also invested in several urban rail transport projects, such as US$900 million in a subway in Hanoi, Vietnam (which has been delayed) or the US$1.6 billion metro line in Lahore, Pakistan opened in October 2020.
Road-transport: China invested across all countries with investments including road construction in Pakistan (e.g. Karakoram Highway connecting China and Pakistan all the way to Pakistan’s Gwadar Port). In 2020 investments in road infrastructure decreased by close to 70% to about US$4 billion.
Ports: Pakistan is also one of the largest recipients of Chinese investments in port infrastructure, such as the Gwadar port operated by China Overseas Port Holding Company, which is a strategically important and also contested investment for China. Other strategic port investments can be found in Piraeus, Greece or in Lamu and Mobasa, Kenya, as well as in Djibouti. A recent US$3 billion agreement to commission Croatia’s largest port (Rijeka Port) to a consortium of three Chinese contractors has been cancelled at the beginning of 2021.
Feb 25, 2021
Riaz Haq
#Pakistan: #KP provincial government signs pact with #Chinese company for 300MW, Rs. 85 billion #Balakot #hydropower project. #ADB to provide bulk of financing. #renewableenergy #ClimateAction #PTI https://www.dawn.com/news/1611678
PESHAWAR: The Khyber Pakhtunkhwa government on Tuesday signed an agreement with a Chinese company for the construction of the 300-megawatt Balakot hydropower project.
The 300MW project — said to be the biggest-ever power generation plant in the province — would be constructed with an estimated cost of Rs85 billion in a period of six years with the financial assistance of the Asian Development Bank, said an official statement.
At the signing ceremony, Khyber Pakhtunkhwa Chief Minister Mahmood Khan was the chief guest. Officials of the Pakhtunkhwa Energy Development Organisation (PEDO) and China Gezhouba Group signed the agreement. KP Finance Minister Taimur Saleem Jhagra and Adviser to CM KP Himayatullah Khan also attended the event along with the high-ups of the energy and power department.
Speaking on the occasion, CM Khan termed the project as of vital importance for the province and a milestone achievement of the provincial government. He said the groundbreaking of the mega-project was expected to be performed by mid-April by Prime Minister Imran Khan.
Rs85bn project will be constructed in six years
The project would play an important role in boosting industrial activities, job creation and overall development of the province, he said, adding that during the construction phase, the project would generate around 4,000 job opportunities. Upon completion, it is expected to generate revenue of Rs14bn per annum, he added.
The CM maintained that power generated by Balakot hydropower project would be provided to local industries as well as to domestic consumers at relatively cheap rates.
The incumbent provincial government was taking result-oriented steps under a well-devised strategy to ensure optimum utilisation of the hydropower potential of the province with the aim to meet its energy requirements and strengthen its economy, the chief minister said.
So far various hydropower projects with a total capacity of 160MW have been completed under PEDO, whereas work is in progress on various other projects having a total capacity of 216MW.
Published in Dawn, March 10th, 2021
Mar 10, 2021
Riaz Haq
Fitch Ratings Affirms Pakistan Water and Power Development Authority (WAPDA) Credit at 'B-'; Outlook Stable. WAPDA makes up 95% of #Pakistan's #hydroelectric #power capacity and 24% of total capacity in 2020. #electricity #water https://www.fitchratings.com/research/international-public-finance/...
KEY RATING DRIVERS
'Very Strong' Status, Ownership, and Control: We maintain our 'Very Strong' assessment regarding WAPDA's ownership structure and control mechanism. WAPDA is a parastatal entity that operates based on the government's guidelines. The government owns 100% of WAPDA and has a tight grip on its overall operation, including financing. The Committee on Public Accounts conducts annual audits of WAPDA.
'Very Strong' Support Track Record: A favourable tariff scheme that covers financing and operating costs helps financial stability. WAPDA expects its fixed charges, which were equivalent to 95% of sales in 2020, to rise significantly in 2021, driven by an increase in capex. The government provides strong financial support, such as government guarantees (30% of debts) and loans that are ultimately incurred by the government, to ensure the entity's financial stability.
'Strong' Socio-Political Implications of Default: WAPDA is Pakistan's largest hydropower supplier. It accounted for 95% of the hydropower capacity in the country and is responsible for flood control and water supply. NEPRA plans to expand hydropower's share of total electricity generation to 35% by 2028, which will bolster the socio-implications of a default by the entity. We expect a severe service disruption should WAPDA fail because there is limited alternative hydroelectric capacity available.
'Very Strong' Financial Implications of Default: We view WAPDA as a proxy funding vehicle for the government in the power sector. The government currently provides a large share of financing for power-related capex, but the policy direction for WAPDA is to expand its own indebtedness without the government's commitment. This will increase the financial implications for the state should it default. The entity's parastatal status means a default will affect future lending and increase borrowing costs significantly for other government-related entities.
Funding Structure to Change: The entity plans significant capex in 2021-2023, while the funding structure will shift towards market sources, away from the government. WAPDA will contribute around 10% of total funding required for projects. We expect leverage to remain under 7x by 2025 from 4.9x in 2020, assuming that the periodic tariff reset is made without significant delay as planned each time. We expect WAPDA's net debt to equity to reach 1.0x by 2025 (2020: 0.2x) without equity injections.
DERIVATION SUMMARY
WAPDA's ratings are equalised with those of Pakistan (B-/Stable), reflecting our assessment of the four factors in our Government-Related Entities Rating Criteria, which results in a weighted score of 50. The ratings of entities with scores of 50 or more are equalised with those of the sovereign, regardless of their Standalone Credit Profile (SCP).
WAPDA's SCP is capped at the sovereign's IDR, given the central role of the government as a counterparty.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to positive rating action/upgrade:
An upgrade of Fitch's credit view on the sovereign may trigger positive rating action on WAPDA.
Factors that could, individually or collectively, lead to negative rating action/downgrade:
A sovereign rating downgrade, weaker government links or lower socio-political and financial implications of a default may lead to negative rating action.
Mar 17, 2021
Riaz Haq
Pakistan’s installed PV capacity will likely increase from around 1.3 GW at the end of 2019 to 12.8 GW by 2030 and 26.9 GW by 2047, according to the Indicative Generation Capacity Expansion Plan – IGCEP 2047, which was recently published by the National Electric Power Regulatory Authority (NEPRA).
https://www.pv-magazine.com/2020/05/01/pakistani-regulator-expects-...
NERPA's base-case scenario predicts that overall generation capacity will grow from 33,000 MW in 2020 to around 168,200 MW in 2047. But coal and hydropower will still account for 36% and 42% of total capacity, at 32,948 MW and 55,836 MW, respectively.
By 2030, the share of wind and solar in the overall energy mix will likely increase from about 3% in 2020 to 23%. “Beyond 2030, share of solar and wind plants decreases due to the increase in the number of new local coal-based plants having greater capacity factors,” NERPA said.
However, it also acknowledges that wind and solar are becoming the cheapest forms of new electricity generation. “They are set to replace the conventional fuels to great extent for power generation to meet the future demand growth,” NEPRA said. “The cheaper and widely accessible renewable energy has the potential to substantially decrease the reliability of power sector on expensive imported fuels.”
The organization also predicts that solar power plant capex in Pakistan will drop from $530/kW in 2020 to $371/kW by 2030. A global outlook report that was recently published by SolarPower Europe also predicted that Pakistan will deploy close to 5 GW of solar capacity by 2022.
Mar 25, 2021
Riaz Haq
Hydropower development initiative focuses on clean energy transition
https://www.thenews.com.pk/print/855748-hydropower-development-init...
Pakistan is facing a huge challenge of preparedness in the face of climate change impacts and their rapidly emerging threats, said Special Adviser to Prime Minister on Climate Change Malik Amin Aslam.
Mr Aslam was speaking at the Clean Energy Transition Summit organised here by Sustainable Development Policy Institute.
Mr Aslam elaborated that Pakistan is on the development pathway and wants to maintain that momentum. He claimed that the 10 billion tree tsunami initiative generated jobs but was directly addressing the menace of climate change.
He said that currently the unprecedented heat-waves and alarming rate of melting glaciers in addition to the unexpected Monsoon season are posing threats at multiple levels.
He revealed that ecosystem restoration is a budgetary priority while hydro-development is a key focus of our government in addition to pushing for solar power plants as well as establishing wind corridors. He hoped that with local coal, we would move to coal to liquid or gas which is much cleaner and pushing for re-commitments to clean energy under the CPEC umbrella.
Shandana Gulzar Khan, chairperson, NA Committee on Food Security and Agriculture, said that we need to change the way of doing business and encourage a shift towards cleaner energy. We also need to evaluate the link between gender, clean energy, and COVID-19, she added.
Earlier, Dr Abid Qaiyum Suleri, executive director, SDPI, raised the question that we need to know how we can make renewable energy fit in the current narrative in a way that it could respond to fiscal restraints and meet the needs of the consumer. He said that the goal is for 60% of energy to come from clean resources by 2030.
Waqas bin Najib, Member Energy, MoPD&SI, informed the participants that our national energy policy has already been approved and renewable energy has a major role in the policy.
Danny Kennedy, CEO, New Energy Nexus, said that we chose renewable energy which has been a huge success for the state and Pakistan may get benefitted from this experience for its transition to clean energy.
Sheeraz Anwar Khan from ADB, was of the view that the energy sector in Pakistan has suffered due to poor strategies and with the increased share of renewable energy, the government is hoping to achieve a sustainable mix of it at affordable prices.
Farzana Altaf, DG, Pak-EPA, was of the view that hydropower is very familiar to us but our investments have to be focused to promote this source of energy.
Mohammad Faisal Sharif, the energy sector expert, explained that transitioning from fossil fuels to renewable energy is a huge commitment and we are also transitioning our grid from a single buyer to a multi-party system.
Hassan Daud Butt, CEO, KP BOI, said that cleaner energy is imperative but cheaper source of energy is also important and being abundant with indigenous sources.
Mustafa Haider Sayed, Executive Director, Pakistan China Institute, was of view that under CPEC, coal power plants have been the game changer for meeting Pakistan’s energy needs and have played a significant role in uplifting communities.
Jun 26, 2021
Riaz Haq
Siemens Gamesa books 410 MW of turbine orders in Pakistan in FY 2019/2020
https://renewablesnow.com/news/siemens-gamesa-books-410-mw-of-turbi...
Gamesa Renewable Energy SA (BME:SGRE) has received 410 MW worth of wind turbine orders from Pakistan during its fiscal year to end-September.
Of the total, orders for 260 MW were booked in the final quarter of the 2019/2020 fiscal year, the turbine maker said.
The machines will be distributed between eight wind farm projects. Two of the projects are already under construction, with commissioning set to take place in November 2020 and February 2021.
The eight projects represent 205 of turbines from the 2.X platform, which Siemens Gamesa will supply, install and commission in partnership with an engineering, procurement and construction (EPC) contractor.
By the end of 2021, all eight wind farms will be fully operational. Once online, they will be capable of covering power consumption needs of up to 600,000 local households each year.
According to Siemens Gamesa, 40 million of people in Pakistan have no access to electricity. The government is committed to bring in modern renewables into the power mix, currently dominated by imported oil and natural gas.
Jun 27, 2021
Riaz Haq
Karot generator ready for commissioning - International Water Power
https://www.waterpowermagazine.com/news/newskarot-generator-ready-f...
The first generator at the Karot hydropower plant in Pakistan is ready for commissioning, paving the way for the project’s full operation this year.
The 720MW project was funded and constructed by China Three Gorges Corporation (CTG). Once in full operation, the station will provide 3.206 billion kWh of clean energy for Pakistan every year, reducing carbon dioxide emissions by 3.5 million tons.
Karot is part of the China-Pakistan Economic Corridor initiative. The scheme forms part of a five-project cascade that will help manage the vital water resource of the Jhelum River and provide much needed generation capacity to the country. The project includes the construction of a 95m high dam, four headrace tunnels and a new public bridge across the river, as well as a substantial spillway structure to manage flood flows.
Jan 20, 2022
Riaz Haq
LAHORE: The National Transmission and Despatch Company (NTDC) has completed and energised the second phase of the 133km long 500kV Neelum-Jhelum Double Circuit Transmission line.
The completion of the line will enable the authorities to directly dispatch the 969MW power, generated by Neelum-Jhehlum Hydropower Project, directly to 500kV Nokhar (New Ghakkar) Grid Station which is closer to the load centres. The company has also connected 720MW Karot Hydropower Project with this line for the purpose of power evacuation, transmission and dispatch to the 132kV distribution system operated by the distribution companies.
Jan 20, 2022
Riaz Haq
The last stator frame at the (864 MW) Suki Kinari hydropower project (on the Kunhar river in the Kaghan valley of Mansehra District Khyber Pakhtunkhwa) has been hoisted successfully and lowered into the unit pit.
https://www.app.com.pk/global/last-stator-hoisted-successfully-at-c...
The stator weighed 335 tons and the task was completed with the help of bridge cranes. The project has four electricity generation units with a combined capacity of 884 megawatts.
The run-of-river facility is one of the early-harvest clean energy projects under China-Pakistan Economic Corridor (CPEC). Gezhouba Group, China is implementing the project at around $2 billion, China Economic Net (CEN) reported.
Also, the 5-kilometre-long relocated portion of National Highway 15 (N-15) is open to traffic. The existing portion of N-15 will submerge in the reservoir of the Suki Kinari hydropower project; therefore, the new road was constructed at a higher elevation. The new road also has a 411-metre-long tunnel.
The project is expected to complete by the end of 2023 or mid 2024, an official said. He said that the powerhouse and reservoir parts of the project were at advanced stages of completion. However, the 24-kilometre-long headrace tunnel is the most challenging part of the project due to unpredictable terrain, tough weather conditions during winters and dewatering issues, he said.
Gezhouba has deployed the most skilled workforce and state-of-the-art machinery at the tunnel sites and presently excavation and lining works are underway from both upstream and downstream sides, he said.
The project will add around 3 billion units of cheap electricity into the national grid annually after completion.
Aug 21, 2022
Riaz Haq
New hydel projects to produce over 11,000MW
Will enhance overall hydroelectric power capacity to 20,684MW
https://tribune.com.pk/story/2382074/new-hydel-projects-to-produce-...
ISLAMABAD:
The Water and Power Development Authority (Wapda) is pursuing six hydroelectric power projects that will add 11,241 megawatts of environment-friendly electricity to the existing hydel generation capacity of 9,443MW in the coming years.
Talking to APP, Wapda officials said that at present total installed capacity of 24 hydel power stations of Wapda stood at 9,443MW and the addition of 11,241MW would enhance it to 20,684MW.
The existing hydel power stations included Tarbela, Mangla, Ghazi Barotha, Neelum-Jhelum and Warsak, which contributed about 25% to the total system capacity of 36,166MW from all sources.
The net electricity output of those power stations was about 32,000 gigawatt-hours (GWh) per annum.
Sharing details of the upcoming hydel power projects, the officials said that the Dasu Hydropower Project would contribute 4,320MW, Tarbela 5th Extension 1,510MW, Mohmand Dam 800MW, Diamer-Bhasha Dam 4,500MW, Keyal Khwar Power Project 128MW and Kurram Tangi 83.4MW to the national grid system.
Meanwhile, Pakistan Atomic Energy Commission has developed several nuclear power projects to support economic uplift in Pakistan.
Total installed capacity of the nuclear power plants connected with the national grid was 3,530MW, which included 1,330MW Chashma nuclear power project and 2,200MW Karachi nuclear power project.
Nov 14, 2022
Riaz Haq
Until about a decade ago, the Jhimpir region in Sindh was a dry, barren stretch of land, inhabited by nomadic tribes. Today, it is home to hundreds of mammoth rotating blades in about two dozen wind farms.
https://www.dawn.com/news/1722458
Around 90 kilometres from Karachi, Jhimpir is the heartland of the country’s largest ‘wind corridor’, which has the potential to produce 11,000 megawatts (MW) of clean energy.
Among early investors was the China Three Gorges Corporation, a Chinese state-owned power company, operating under an investment holding company, China Three Gorges South Asia Investment Limited.
The company has funded and built three wind projects with a combined capacity of nearly 150 MW. The first of these began construction in 2012.
The latter two projects, completed in 2018, were funded under the China Pakistan Economic Corridor (CPEC), an integral part of Beijing’s flagship multibillion-dollar Belt and Road Initiative (BRI).
In an official statement following Prime Minister Shehbaz Sharif’s visit to China on Nov 1-2, the premier reaffirmed the importance of CPEC to Pakistan’s development.
For the time being, renewables represent only a small portion of Pakistan’s power generation mix. Of a total of 43,775 MW, installed capacity for wind and solar represent around 4.2 per cent (1,831 MW) and 1.4pc (630 MW) respectively, according to the National Electric Power Regulatory Authority’s State of Industry 2022 report.
In terms of CPEC, the November 2022 joint statement from China and Pakistan listed oil and gas as among the “priority areas of CPEC cooperation”.
But a recent shift in the direction of Chinese investment may be hugely significant for the country’s energy future, and the climate.
The shift from coal?
In the years before the launch of CPEC in 2015, Pakistan was desperate to end its long, crippling power shortages.
The country was keen to develop its untapped indigenous coal in Thar desert, but multilateral financial institutions were not interested. Along came China in 2013, with an offer to lend massive amounts for infrastructure development and coal mining.
Details of the financing deals are a closely guarded secret, but multiple Chinese-funded coal projects followed. Eight completed or under-construction coal projects are listed as part of CPEC, totalling 6,900 MW, which include four on Thar coal.
Then in 2021, after growing pressure on China — currently the world’s biggest polluter — to curb its greenhouse gas emissions, Beijing announced it would not build new coal-fired power plants overseas, and would increase support for low-carbon energy.
In December 2020, Pakistan announced that it would not build any new power projects that depend on imported coal, and pledged that by 2030, 60pc of its energy will come from clean and renewable sources.
The government has since scrapped a number of potential coal projects, including a 300 MW plant at the Chinese-controlled Gwadar sea port in Balochistan. Reportedly, it is to be replaced by a solar plant.
‘Greening’ CPEC
As Beijing tries to rebrand the BRI as an eco-friendly initiative, Chinese officials have promoted the idea of a ‘green’ CPEC. But Hina Aslam, research fellow at the Sustainable Development Policy Institute (SDPI), a think tank in Islamabad, points out that “in the energy sector, it has meant a greater focus on hydro rather than wind and solar”.
Besides wind energy in Jhimpir, China Three Gorges Corporation is investing heavily in what it is globally known for: hydropower (the company is behind the Three Gorges Dam in China, the world’s biggest power station).
In June 2022, it completed a 720 MW project in Karot in northern side of the country.
Work is advancing on a 1,124 MW hydropower plant near Muzaffarabad, and a third 640 MW project has recently been approved in Mahl. The same company is behind both projects.
Nov 25, 2022
Riaz Haq
Put together, China Three Gorges aims to produce 2,500 MW of renewable energy in Pakistan, mostly through hydro. The Pakistan government – like many others – includes hydropower under the umbrella of renewable energy, but this is disputed by many environmentalists due to the often high environmental, social and financial costs of hydropower, including disruption of important riverine ecosystems. In Pakistan, dams are also politically contentious and a source of discord between upstream and downstream provinces. Yet, both Beijing and Islamabad appear keen to pursue hydropower.
But there are huge challenges facing Pakistan’s shift to renewable energy. “A lack of consistency in policy has been the biggest issue,” says Noman Sohail, senior business manager at China Three Gorges South Asia Investment Ltd.
“Arranging lenders and finance for renewable projects is not a problem. But it’s disorienting when policies are reversed, tariffs renegotiated and unpaid capacity payments allowed to pile up.”
Growing popularity of solar
There is one form of renewable energy in particular that presents immense potential for Pakistan, but which has seen little investment to date: solar. A World Bank study in 2020 urged Pakistan to urgently expand solar and wind “to at least 30 per cent of electricity generation capacity by 2030, equivalent to around 24,000 MW”.
As of 2022, the proportion is 5.6pc according to the National Electric Power Regulatory Authority’s State of Industry 2022 report.
Pakistan’s slow take-up of solar energy is evident from the fact that of the 21 energy projects completed or in development under CPEC, only one is solar: the 1,000 MW Quaid-i-Azam Solar Park in Cholistan Desert, Punjab, built by Chinese company Zonergy.
This project, promoted as one of the world’s biggest solar parks, was meant to be completed by 2017. But only 40pc of this capacity has been implemented so far.
Suleman Rehman, chief executive of Burj Capital, a Dubai-based investment company focused on renewable energy in Pakistan, says that regardless of the government’s apparent lack of focus, the demand for affordable solar power is growing exponentially.
“The competition is getting intense. More and more local players are coming up every month. Installing a 4MW solar project is no longer a big deal for us,” says Rehman.
According to Rehman, the private sector is not waiting for policymakers to facilitate the energy transition. Those who can are turning to the solar option. That explains the recent proliferation of rooftop photovoltaic panels in big cities, as well as in off-grid villages across the country.
The solar future
Costly fuel imports have already had a crippling effect on Pakistan’s economy. This year, the volatility of global energy prices, exacerbated by Russia’s invasion of Ukraine, took a damaging toll on Pakistan’s foreign exchange reserves. The country was on the verge of a default before the International Monetary Fund agreed to step in to help it stay afloat.
In an attempt to reduce dependence on imported fuel, on 1 September 2022 Prime Minister Shahbaz Sharif announced the rapid deployment of 10,000 MW of solar power in the country. But details of how this will be achieved, and by when, are sketchy.
The plan reportedly involves transitioning all public sector buildings to solar power. The proposal also encourages power plants running on coal, oil and gas to partially shift to solar power.
China will have a crucial role to play if this shift to solar is to happen, says Rehman, though it may come in a different form than the mega-projects seen under CPEC.
“China will still have a big role because they are producing the cheapest [solar] equipment worldwide. But I really hope the government won’t put this under CPEC because that would put local players at a disadvantage,” says Rehman.
Nov 25, 2022
Riaz Haq
Gwadar Pro Official
@Gwadar_Pro
China state-affiliated media
The Chinese company is working 24 hours a day according to three shifts on Dasu Hydropower Project. After the completion of Dasu Dam project, 4320 MW electricity will be generated. Thousands of employment opportunities have already been created on the project.
https://twitter.com/Gwadar_Pro/status/1610941378862940160?s=20&...
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Wapda, KP districts sign deal to build transmission line
https://www.dawn.com/news/1726085
The Water and Power Development Authority (Wapda) and a united jirga from three districts in Khyber Pakhtunkhwa’s Kohistan region signed an agreement on Monday to facilitate the construction of a transmission line for evacuation of 4,300 megawatts electricity to be generated by Dasu dam and other hydropower projects.
The “Confidence-Building Measures’ Agreement (CBMA) was signed between Wapda, the administration of Hazara division, and notables from the three districts — Upper Kohistan, Lower Kohistan and Kolai Palas Kohistan.
Under the agreement, Wapda committed to implementing development schemes — to be selected through a yet to be conducted field survey — as CBMs under its Corporate Social Responsibility (CSR) in consultation with the civil administrations and the locals, Wapda said in a statement.
“Most importantly, this agreement will pave the way for smooth execution and completion of long-delayed 132kV transmission line from Duber hydel power station to Dasu, direly needed for stable supply of electricity during peak construction period of Dasu project,” it added.
Jan 5, 2023
Riaz Haq
POWERCHINA Celebrates 10th Anniversary of CPEC: Committed to Bringing Pakistan Forward for Green and Sustainable Development
https://www.businesswire.com/news/home/20230306005420/en/POWERCHINA...
This year will see the 10th anniversary of the China-proposed Belt and Road Initiative (BRI) and the 10th anniversary of the launch of the China–Pakistan Economic Corridor (CPEC). As one of the key enterprises participating in the construction of the CPEC, POWERCHINA has been active in various fields such as energy, electricity, water management, and infrastructure investment in Pakistan since it entered the Pakistani market as early as 1987.
Over the past 36 years, POWERCHINA has completed the 103 projects in Pakistan, including the first roller-compacted concrete (RCC) dam in Pakistan – the Gomal Zam Dam multipurpose project, and the first mainstream hydropower station on the Indus River – the Ghazi-Barotha Hydropower Project, the largest installed hydropower station – the Tarbela 4th & 5th Extension Hydropower Project, and the largest wind farm – the Tricon Boston 150 MW Wind Power Project.
In the past ten years, among the first 20 energy and infrastructure projects of the CPEC, POWERCHINA has participated in the investment and construction of 11 projects. POWERCHINA has consolidated the traditional power business, and continued to contribute to the development of new energy and other fields. Pakistan's largest hydropower hub project currently being constructed by POWERCHINA, the Diamer Basha Dam Project, will become the tallest and largest RCC dam in the world, and is expected to provide Pakistan with 18.1 billion KWh of clean electricity every year. As the project progresses, it is expected to provide more than 20,000 job opportunities, which is considered as one of the many positive effects of the project by Nadeem Ilyas, a Pakistani engineer of the project.
As one of the leading enterprises in China, POWERCHINA has carried out high-quality clean energy project construction and operation in accordance with international standards, and is committed to improving Pakistan's infrastructure conditions and alleviating local power shortages. It has not only made important contributions to the sustainable development of Pakistan, but also played a key role in the development of CPEC.
Mar 6, 2023
Riaz Haq
Saudi Arabia signs $240m loan agreement to support Mohmand Dam
https://www.dawn.com/news/1746406/saudi-arabia-signs-240m-loan-agre...
The statement noted that the project is expected to enhance water and food security, and improve the standard of living for people in Khyber Pakhtunkhwa, where almost 80 per cent of the population resides in rural areas, boosting the region’s socioeconomic development by creating employment opportunities and reducing poverty levels.
It added that by using renewable energy sources, the project will generate 800 MW of electricity production capacity, contributing to Pakistan’s energy security. In addition, the storage of 1.6 million cubic meters of water will support sustainable agricultural practices, enable irrigation of 6,773 hectares of new land, and increase the total cropping area from 1,517 hectares to 9,227 hectares in the province, facilitating agricultural activities.
Co-financed by the SFD, OPEC, Islamic Development Bank, and the Kuwait Fund for Arab Economic Development, the project aligns with SDG-2 (Food Security), SDG-6 (Clean Water), and SDG-7 (Clean Energy) and embodies SDG-17 (Partnerships for the Goals).
During the agreement signing ceremony, the CEO of SFD said this initiative is an extension of the fund’s continued support for development projects and programmes in Pakistan since its inception. He also highlighted the significance of joint cooperation between development funds, as evidenced by this project.
For his part, Dr Niaz expressed his sincere appreciation and gratitude to the Kingdom of Saudi Arabia for its unwavering support towards the development sector in Pakistan through the SFD.
Apr 7, 2023