Power generation drops 8.2pc y/y in March

KARACHI: Power generation for March 2024 was recorded at 8,023 gigawatt-hours, or 10,784 megawatts, marking an 8.2 percent fall compared to the same period in the previous year, a brokerage report said on Thursday.

Power generation stood at 8,741 gigawatt-hours or 11,749 megawatts in March. Brokerage Arif Habib Limited attributed the year-on-year decline to lower output from re-gasified liquid natural gas (down 7.1 percent), coal (down 18.8 percent), and gas (down 28.2 percent).

However, on a monthly basis, power generation increased by 12.5 percent compared to 7,130 gigawatt-hours recorded in February 2024. The increase was due to improved generation from hydropower (up 25.5 percent), nuclear (up 24.7 percent), and re-gasified liquid natural gas (up 14.3 percent).

From July to March, power generation decreased by 1.2 percent year-on-year to 92,450 gigawatt-hours, compared to 93,582 gigawatt-hours in the same period last year. The decline was due to lower generation from nuclear (down 10.6 percent) and gas (down 24.5 percent).

The actual power generation was 10.4 percent lower than the reference generation. "This decline in generation is expected to result in higher capacity charges for the fourth quarter fiscal year 2024 quarterly tariff adjustment," the report added.

The total cost of generating electricity in the country increased marginally by 1.1 percent, reaching 8.31 rupees per kilowatt-hour in March 2024 compared to 8.22 rupees per kilowatt-hour in the same period of the previous year.