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Our Recommendation Pakistan needs to focus on resolving energy crises by reducing energy production from oil and using renewable energy sources including building the Kalabagh dam and other dams.



Pakistan is facing serious energy crises. Its industries are being shut down or moving out of the country. People are paying about three times more for electricity. Here are the main reasons for these crises:

1) Energy Produced by Oil: Pakistan generates 40% of its energy from oil, thanks to contracts given to companies by our governments after getting billions of rupees in bribes. Energy produced by oil is about three times more expensive than other traditional methods. India generates about 24% of its energy from oil. I heard from a personal friend who has been involved in renewable energy feasibility reports/projects that all of the projects were destroyed by Oil Mafia in Pakistan including a Saudi oil company. So Pakistanis are paying a high price for energy and shortage because of corrupted governments and oil mafia. Recently the Saudi government announced that it would give about $15B in new loans (to Nawaz’s Government) to solve energy crises in Pakistan. More loans from Saudi Arabia means more dependency on oil, no renewable energy projects, high prices for energy, less competitive industries, and fewer jobs. People must be knowledgeable about the issues and organize to take actions against all bad polices. Simply hoping that the politicians will do the right thing is naive.

2) Suspension of the Kalabagh Dam because of Conflict among Provinces: Pakistan badly needs dams to generate inexpensive energy and to store precious water. Unfortunately in 1977, dictator Zia-ul-Haq suspended construction of Kalabagh dam because of objections from Sindh and NWFP (now KPK) provinces. No government has been able to start the construction since then because of fierce objection mainly from Sindh. All objections of these provinces are either politically motivated (including spreading misinformation) or are based on a lack of trust on Punjab province. Most people in Sindh believe Punjab will steal their water. These objections are solvable by giving constitutional guarantees to small provinces and by using the latest technology to monitor distribution of water.


Pakistan has already wasted about 36 years and it does not have any more time to waste. People have already paid too much in terms of higher electricity prices. There is not enough electricity available, resulting in closing or moving of industries, loss of jobs, floods, and high crop prices, not to mention the cost of construction of the dam that has now increased significantly.



Kalabagh Dam