The Biz Update One of Pakistan's Most Reliable Business News Website
Related Articles
KARACHI June 23,2026: FPCCI President Atif Ikram Sheikh said the Federation’s Central Standing Committee on Renewable Energy, chaired by Fawad Jawed, has expressed serious concern over rising curtailment of wind power plants.
He said grid infrastructure failures are causing major financial losses. Moreover, he added that investors in green energy face rising risks, while consumers continue to pay for expensive imported fuel.
He further stated that authorities had assured the removal of transmission bottlenecks in the Gharo-Jhimpir corridor. However, the National Grid Company (NGC) and the Independent System & Market Operator (ISMO) have not upgraded the evacuation system.
As a result, Pakistan is not utilizing its cheapest electricity source. Wind power, available at around Rs14 per unit, remains underutilized. Instead, the country continues to rely on costly RLNG and coal imports, which adds pressure on foreign exchange reserves.
In addition, Sheikh highlighted a major tariff imbalance. He said surplus wind energy often drops below Rs1 per kWh under NEPRA rules. However, the system still rejects this low-cost power and favors expensive thermal generation.
Meanwhile, he warned that the Non-Project Missed Volume (NPMV) mechanism only compensates 38% of losses, even when plants remain fully available. He said this creates serious financial stress for investors.
Furthermore, FPCCI cautioned that launching CTBCM and wheeling auctions on a weak grid could further destabilize the system.
Finally, FPCCI urged the Prime Minister’s Office, the Ministry of Energy, and NEPRA to act immediately. It called for must-run status for wind power, accountability for delays, improved grid evacuation, and urgent reform of the NPMV framework.
