Pakistan
Background: Pakistan began experiencing major electricity shortfalls in the early 2000s due to increasing industrialization and urbanization as well as significant economic growth. As an emerging economy, Pakistan’s demand for electricity is enormous, with increasing electricity consumption directly correlated with Pakistan’s rapid GDP growth; Pakistan’s per capita annual electricity consumption increased from 362 kWh in 2000 to 516 kWh in 2020. Electricity shortages in Pakistan are cited as the most serious constraint to improving business operations, increasing business expansion and job creation. Affordable and available electricity is a key requirement for economic progress and improving living standards throughout Pakistan.
CASA-1000 Solution
To meet this growing electricity demand, Pakistan must have access to affordable clean energy, which can sustain economic growth, spur infrastructure development and attract foreign investment. Pakistan’s electricity demand peaks during the summer season from May to September (mainly to meet the country’s cooling demands). The Kyrgyz Republic and Tajikistan generate surplus hydropower during the same time, making CASA-1000 a viable opportunity to meet Pakistan’s growing electricity needs. Access to a dependable energy supply can reduce shortages and outages during the critical summer period and lessen the financial pressure of fuel imports. Additionally, these clean and affordable electricity imports, produced from hydropower, reduce Pakistan’s dependence on coal and oil-based electricity generation.
As the first regional electricity market project of its kind in the South-Central Asia region, CASA-1000 holds significant importance for Pakistan’s energy sector. Once complete, Pakistan will be able to import up to 1,300 MW of electricity into Pakistan at the Nowshera converter station. By establishing this cross-border electricity trade, CASA-1000 helps meet the growing demand for power in Pakistan, thereby increasing regional trade and encouraging regional autonomy. The project demonstrates landmark cooperation among the four countries that will improve the electricity systems and develop inter-regional cooperation between Central Asia and South Asia. During the winter period when Pakistan has excess electricity available, CASA-1000 also provides the opportunity to export electricity back Central Asian counties to cover the power deficit during the winter period.
Results
CASA-1000 will provide job opportunities for locals during construction and during the operational stage. Communities along the route will be supported through community support programs which will mainly focus on health, education, rural electrification, provision of drinking water, and construction of sanitary systems.
The National Transmission & Despatch Company (NTDC) has been mandated by the Ministry of Energy of the Government of Pakistan as the implementing agency of the CASA-1000 Project in Pakistan. NTDC has further constituted a Project Implementation Unit (PIU) responsible for the project’s execution, monitoring progress, and reporting to the relevant stakeholders. Participating organizations in Pakistan include the Ministry of Energy, NTDC, and multiple interagency committees to monitor and direct project progress.