ISLAMABAD: Electricity demand from Pakistan’s national grid plummeted by 17.4% in August 2024, reaching 13,179 gigawatt-hours (GWh) compared to the same month last year. The decline is largely driven by surging electricity prices, lower industrial consumption, and milder temperatures following the heatwave.
The reduced grid consumption, coupled with the rising adoption of low-cost rooftop solar systems in residential areas, has resulted in lower power generation. In the first two months of FY 2024-25, power production fell by nearly 9% to 28,059 GWh.
Fuel costs for power generation also dropped by 9.3%, but the shift towards expensive RLNG over cheaper coal hampered further savings. Experts predict that the trend of low power demand will persist until the expected recovery of large-scale manufacturing industries in early 2025.
Hydroelectric power led the energy mix in August, contributing nearly 41% of total generation, followed by nuclear, RLNG, and coal. However, rising fuel costs, particularly for local coal and bagasse, continue to put pressure on electricity prices.
Story by Salman Siddiqui
