Documenti di Didattica
Documenti di Professioni
Documenti di Cultura
ID: 818178060
Similarity Index
13%
Similarity by Source
Internet Sources:
11%
Publications:
3%
Student Papers:
4%
sources:
1
4% match (Internet from 07-Oct-2009)
http://www-
wds.worldbank.org/servlet/WDSContentServer/WDSP/IB/2000/08/19/000094946_00081906365
947/Rendered/INDEX/multi_page.txt
2
3% match (Internet from 03-Jan-2016)
http://www.waterinfo.net.pk/sites/default/files/knowledge/KPK%20-%20Comprehensive
%20Development%20Strategy.pdf
3
3% match (publications)
John Briscoe. "The Financing of Hydropower, Irrigation and Water Supply Infrastructure in
Developing Countries", International Journal of Water Resources Development, 12/1/1999
4
3% match (Internet from 29-Jan-2010)
http://pdf.usaid.gov/pdf_docs/PNACR143.pdf
paper text:
IRP FIRST DRAFT FINANCING HYDEL POWER PROJECTS IN PAKISTAN -
POTENTIAL AND CHALLENGES Presented by: Ahad Khan Cheema, PAS Faculty Advisor:
Mr. Ahmar Elahi INTRODUCTION Statement of the Problem Pakistan is one of few countries
that possess large hydroelectric (hydel) potential a coveted form of energy due to its
insignificant generation cost and long life. It is estimated that more than 40,000 MW of power
generation capacity can be installed on our water resources. Yet, despite energy shortage,
partially driven by unsustainable generation costs using imported fossil fuels, only 15% of this
hydroelectric potential has been harnessed so far. In order to exploit Pakistans hydel resources
productively, huge investments are needed. The current state of our economic development does
not easily allow us the fiscal space in our public budgets to undertake this huge enterprise,
despite the clear and obvious benefits of hydroelectric power generation. Certainly, with the
given tax structure and tax-to-Gross Domestic Product (GDP), enough public financing is not
available to finance all of the available large hydroelectric potential a desirable goal keeping in
view that fossil fuel import will continue to put huge burden on Pakistans balance of trade. In an
attempt to replicate the relative success of attracting private capital to thermal power generation
under various independent power producer policies, the Government of Pakistan has made
several attempts to 2attract overseas investment, and to facilitate tapping the domestic
capital market to raise local financing for power projects. Steps such as
corporate debt securities market have been taken but limited response has been noted. In
fact, prior to the China-Pakistan Economic Corridor (CPEC), any discussion of non-public
financing of large dams had been conspicuously absent. The absence of private investment on
hydropower, despite clear knowledge of its fundamental economic benefits, is now a well-
recognised global problem. Private financing in the power sector has established a clear
preference for 1low-risk projects that are not capital-intensive, with short
construction times and quick returns in effect thermal power projects, and
preferably gas-fired plants (though Chinese investors prefer coal-based power plants due
to their familiarity with them). While the 1private sector has completely taken over the
role of developing new power stations (as was the case in Pakistan till very recently),
globally the private sector is only building one megawatt (MW) of hydropower for each 40
megawatts of fossil-fuel thermal plants it establishes. This is despite international consciousness
about 1global warming and an urgency to find clean renewable sources of energy. In
Latin American countries4. There is no doubt that private sector will have to play the leading role
in power sector, with leading energy thinkers even predicting that 90% of power financing in
future will come from the private sector5. But the question remains how the private sector views
investments in hydropower with the high number of risks, many inherent in the geographical,
hydrological and geological tailoring that each individual hydropower project requires, the
answer would be warily. However, Trembath6 argues that in contrast to developed countries for
developing countries a very strong factor for any private financier is the substantial market
growth potential. Conducive legal and regulatory environments make some markets more
structured and therefore less risky to invest not only money but also effort in bringing 3a
project to the stage where it can be costed by a developer and introduce adesirable
level of certainty. This certainty is a necessity according to him because even relatively
Banks Energy Week, Washington, DC, (1314 March 1997). 6 Ibid. 7 O. Ulfsby,
discussion, 4World Banks Energy Week, Washington, DC, (1314 March 1997). 8 John