Jameel replied on Saturday, May 26, 2012 08:42 PM
Feasibility of thermal power fluctuates with the availability of cheap oil , in 1997 oil was 18 to 20 Dollar a barrel and for many years was low, In 1995 when Benazir formed (private power infrastructure board), I was boiled to see the details of agreement that all was in favor of these companies, at that time a single sentence came to my mind that these one sided agreements will bankrupt the country, same happened. After 3 years when these PPI started production the Nawaz sherif was not in position to renegotiate. I remember there was a meeting of experts to save the country from this biggest Dakaitee, they read all the terms and conditions, fortunately one was that power will not fluctuate more than certain degree in 14 days. This was practically not possible. WAPDA at that time Continued test for months and kept failing the PPIs [the biggest I shall not name]. At later stages due to this technical hitch the company reduced the price to reasonable limit. Hence these PPI started supply in Nawaz Sherif period.
Unfortunately the price of Oil Touched Max in 2007 when it reached 180 dollar barrel, that broke the back bone of Musharraf going govt, Now we all know that average price of oil is above 100 dollars, That is the reason the country highly dependent on thermal power can neither afford to buy the oil and if is able then import bill will increase the deficit. So basically it gift of last period of Benezir Govt who instead of local resources preferred making thermal power plants. |
