SEMINAR

1. SEMINAR Recommendations on Power Policy 2013 34th Annual Convention/ 34th AGM

2. Pre-Requisites For Policy Formulation • All policies to be part of the wholesome national policy. • Cannot be enacted as a stand alone proposition/in isolation • Policies on S&T, Production, Industrialization, Agriculture, Education, Energy – all to be dealt with separately as distinct subjects, but as a part of the whole

3. Imperative Decisions • Decision whether the country is to be a net importer or even an exporter • Its relevance to balance of payments • Whether national autarchy is a goal or not? • Indigenization – a part of scheme or not?

4. Continued • NEPRA’s mission statement of Safe, Reliable, Efficient and Affordable Power – does it need to be kept in view? • Does some other national goal needs to be considered?

5. PROCEDURE TO BE ADOPTED FOR POLICY FORMULATION • Data crunching after setting of national goals • In case of power, present gap/suppressed demand/current yearly growth/national goals viz.aviz. the per capita usage & the expected usage – to be considered. • Sectoral precedence/priority to be fixed through POEs • Power allocation & management policy to be formulated

6. Continued • All the above to be elastic & dynamic in nature, but clear in priorities • Pinpoint & focus on threats viz. non-availability of enabling legislation, failing writ of the governments, alluding consensus, fractured body politic etc.

7. Continued • Fixation for the first right to cheap fuel – domestic, commercial, agriculture or industry? • Acquisition of power from all sources – including imports form the neighbourhood- should it be given precedence? • Obligation of GoP to arrange competitive tariff regime – to ensure exports/affordable living for the people

8. Continued • Captive power- an integral part of a sustainable policy worldwide? • Eventual goal to wean-off the industry from the national grid? • Conservation against set targets under the SMART Principle? • Energy Efficiency – again as a national policy- set targets?

9. IMMEDIATE COST CUTTING/REDUCTION IN COST OF SERVICE • Enabling legislation on the Immediate basis • Setup RGTFs – increase in the sale rate by plugging leakages • Full throttle – effort to ensure implementation of NEPRA targets – resulting in full recovery of revenue.

10. Continued • Capacities of ministry and line depts to be up-graded • Arrangement of a Robust Monitoring System • Provision of cheaper fuels to power sector viz. diversion of Gas • Conversion of RFO fired plants to local/Afghan/Imported coal under a time bound plan

11. Continued • Speed up of new Gas finds & use of capped fields through upgraded security etc. • Re negotiation of IPP PPAs • Renewable as set %age of system capacity/concept of micro grids/ feed in tariff/ net – off metering

12. PRESENT POLICY • Stakeholders not consulted nor listed • National goals of growth not discussed, nor laid down • Cross border trade – not much of a preposition! • Just caters for the present deficits • Doesn’t talk of suppressed demand

13. continued • Makes no reference to national planning & figures of demand till 2018 & onwards • Perfunctorily speaks of Conservation & EE • Omits captive power as an important pillar • Micro grids & distributed generation – not even discussed • Doesn’t talks about Capacities and monitoring mechanism – change from the existing set-ups, if any.

14. continued • Static in nature – dynamism not possible • Power sector of the future not discussed • Role of public sector in the future power sector not discussed with time lines • Privatization & the role of private sector in the future power sector not discussed with time lines

15. continued • Futures & pricing of coal, shale & tight gas, wind & solar power equipment , nuclear energy & fission not discussed • Communication strategy to explain the rationale and to disseminate the policy widely is missing

16. Conclusion The existing Power Policy - 2013 should be revisited in full

17. THANK YOU