Gas and oil supply disruption causes 3,500MW shortfall

[Lahore_Real_Estate]

ISLAMABAD: Disruption in the supply of natural gas and fuel oil because severe damage caused by flood to some major installations and transportation network has resulted in a shortfall of more than 3,500 megawatts of electricity, leading to up to seven hours of loadshedding across the country.

The power shortage will persist longer than estimated also because of a delay in the commissioning of some under-construction power projects which were nearing completion. Six power stations of about 1,500MW are already off the national grid.

The government will have to airdrop petroleum products in some parts of Gilgit-Baltistan and Dera Ghazi Khan where the road network has been badly affected.

Disruption in gas supply from Qadirpur field — the country’s third largest — will lead to a loadshedding of gas for industry, transport, fertiliser and other sectors, except domestic consumers, from Wednesday.

Major water storage and canal structures have survived the super flood, but bunds and embankments along all major rivers from their points of origin to the sea have either been destroyed or partially damaged and rebuilding them will take a long time.

Water and Power Minister Raja Pervez Ashraf said on Tuesday that the floods, worst in the country’s history, had affected all provinces and Azad Kashmir and Gilgit-Baltistan. “It has affected populations, dams, power houses, underwater facilities, cattle, crops, villages and safety bunds.”

Mr Ashraf, who returned to the capital after a week-long visit to the affected areas, said barrages had remained safe and the floodwater had started receding. But another monsoon system could lead to a second spell of flooding. “The month of August is crucial and we have to be very vigilant. All agencies are on red alert.”

He said three power stations — the Kot Addu plant (1,200MW) and the AES Lalpir and Pakgen plants (350MW each) — had to stop generation because of inundation. Another four stations — Orient Power, Saif Energy, Fauji Kabirwala and Rousch Power (total capacity of about 800MW) — had to be shut down because of disruption of gas supply from Qadirpur field which had been closed down following heavy influx of water.

The minister said that fuel supply was also disrupted because of damage suffered by roads. The total fuel- and gas-related reduction in electricity production was about 1,500MW, he added.

Three under-construction power projects — Jinnah Hydro, Allai Khwar and Khan Khwar — have been inundated. Although the machinery of these plants was safe, infrastructure like dispatch centres and grid stations had been damaged which will delay their scheduled commissioning.

Petroleum and Natural Resources Minister Syed Naveed Qamar said that supply of 375 million cubic feet of natural gas had been disrupted from Qadirpur field because of inundation of Shikarpur compressors. The shortfall will affect all consumers, except domestic.

He said there was no shortage of petroleum products in the country, but some areas were facing problems because of infrastructure damage. He said that high speed diesel stocks were enough for 40 days, furnace oil for 21 days, petrol for 11 days and aviation fuel for 53 days.

Mr Qamar said the Parco refinery in Mehmood Kot near Multan was safe and the damage was limited to its residential facilities. However, production has been stopped because of road access problems. All other refineries have been activated to utilise their full capacity from the existing 50 per cent to make up for the deficit arising out of Parco’s closure.

He said that almost all depots of Pakistan State Oil had sufficient stocks. Alternative arrangements were being made to ensure smooth supply to Faisalabad and Multan.

Private marketing companies, he said, had reached swap agreements with PSO to get supplies from its stocks where they might be facing supply problems. The companies would be compensated through waiver of inland freight equalisation margin.