Driven by the global energy crisis in the wake of the Russia-Ukraine war, power outages are intensifying in cash starved Pakistan with many urban places having to live without electricity for more than 10 hours while in rural areas it is even more. Though Pakistan Prime Minister Shehbaz Sharif has asked the necessary authorities to look into the matter, sources said that the issue may not get resolved immediately. In fact, reports indicated that this month, the situation could even be worse.
Sharif is now expected to visit Qatar to resolve issues relating to supply of LNG (liquefied natural gas).
For Islamabad, the cost of fuel import has surged with prices going northward.
The News in a report said that the prime minister is going to Qatar for more LNG supply contracts and may also seek some relief in the provision of more LNG cargoes under the deferred payment mechanism.
Earlier Pakistan Army Chief General Qamar Javed Bajwa was in Doha with the aim to deepen economic engagements.
While the country is producing 21,700 MW of power, the demand is significantly higher at 29,200MW.
Recently, in Karachi, people took to the streets to protest against the situation.
Electricity production is significantly lower than the demand.
Not only are the citizens getting severely impacted by the shortage but the situation has caused worries for the telecom companies as well.
According to Pakistan’s National Information Technology Board (NITB) telecom operations in the country could take a hit due to the power shortage and even lead to shutting down of mobile and internet services.
“What is hurting many is the fact that they are having to pay much more with stiff price rise and yet quality of life is deteriorating,” a foreign policy watcher told India Narrative.
The country’s Consumer Price Index (CPI) rose to 21.3 per cent in June up from 13.8 per cent.
This is the highest inflation rate since December 2008 driven by the hike in fuel prices. The country has been in talks with the IMF for a bailout package and as mandated by the multilateral agency, the government increased fuel prices by 92 per cent in a month. The price of petrol in Pakistan now stands at (Pakistani) Rs 248.74 for a litre and Rs 276.54 for a litre of diesel.
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