Journal of Contemporary Issues in Business and Government

Abstract

This paper has critically analyzed barriers to development of potential renewable
energy resources to resolve the power crisis in Pakistan. The study was limited to the electric
power sector and based on secondary data, experts’ opinions and stakeholder consultations. The
study tried to explore the question: why the available substantial renewable energy sources in the
country are not being tapped to produce electricity and what are the barriers in development of the
power sector of Pakistan? Energy experts and stakeholders including government officials and
environmental experts were consulted. Focused group discussions and individual consultations
were made for seeking opinions and ideas about development and promotion of renewable energy
for the power sector. The findings of the study showed that Pakistan’s total installed power
generation capacity is 39000 MW and the contribution of renewable energy is less than 10% (6%
from renewable: wind, solar and bagasse) as compared to conventional sources of energy despite
its huge potential. There are political as well as technical, financial and social issues which
marginalize renewable energy in the country. In order to improve the situation, there is a dire need
to prioritize options in the energy sector and to promote renewable energy by providing strong
financial, technical and legal support. Moreover, political stability, visionary leadership and
pragmatic and integrated power policy/energy plan are required to promote renewable energy
exploitation in the country. It is hoped that this study will help to pinpoint the loopholes and gaps
in the development of the power sector along with factors hindering the development and
promotion of renewable energy in Pakistan. Based on the findings, it is suggested that improved
governance with strategic planning and appropriate implementation mechanisms in the power
sector of Pakistan are needed for sustainable energy development.