Karachi, August 23, 2021 (PPI-OT): Power generation rises 11% YoY in 7MCY21

Total Power generation for the month of July was recorded at 15,680GWh which is nearly 7% higher on a YoY basis and about 9% higher on a sequential MoM basis. Incorporating the latest numbers, the total generation for 7MCY21 lands at 77,856GWh, nearly 11% more than what was seen during the same period last year.

Comparing the fuel mix, we find that it has changed substantially in 7MCY21. The biggest change was seen in the share of Hydel generation which declined from 31% during 7MCY20 to 25% in 7MCY21. On the flip side, the share of Furnace Oil (FO) in the fuel mix increased by 2 percentage points from 4% to 6%. Meanwhile the share of Coal, Gas and RLNG remained mostly unchanged over the period.

The substantial decline in Hydel generation was also visible in the per unit fuel cost which shot up from Rs4.65 per KWh during 7MCY20 to Rs5.67 per KWh during 7MCY21. It may be noted here that the fuel cost per unit has been persistently increasing of late. This trend is likely to continue as winter approaches and fossil fuels such as LNG and Furnace Oil gain importance in the overall fuel mix.