Author:
Pasha Hafiz A.,Saleem Wasim
Abstract
The widespread and growing phenomenon of power load shedding
has emerged as one of the principal supply-side constraints to growth of
the economy of Pakistan. Not only has this led to significant losses of
output, employment and exports but also during periods of high outages
there have been large-scale protests, particularly in Punjab and KPK.
Households have faced severe disruptions due to the high and growing
incidence of load shedding. These have led to mass protests on streets
resulting in disruption of other economic activities. As such, the
economic return of reducing outages and of facilitating the process of
adjustment to these outages is likely to be high. This paper provides an
approach and methodology for quantifying cost of load shedding to
households in Pakistan. It is organised as follows: Section 2 highlights
some key trends in the power sector of Pakistan. Section 3 will present
a detailed literature review on the methodology used for quantification
of costs due to outages. Section 4 describes the methodology used for
qualification of costs due to outages and for estimation of willingness
to pay. Section 5 presents estimates of the cost of load shedding in the
domestic sector of Pakistan. Finally, Section 6 highlights the major
policy implications emerging from the research.
Publisher
Pakistan Institute of Development Economics (PIDE)
Subject
Development,Geography, Planning and Development
Cited by
14 articles.
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