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Effectiveness of Regulatory Structure in the Power Sector of Pakistan

Author

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  • Afia Malik

    (Pakistan Institute of Development Economics, Islamabad.)

Abstract

This paper is an attempt to study the regulatory environment in the electricity sector of Pakistan. NEPRA, a regulatory authority was formed in 1997 to protect consumer interests in the area of electricity provision, and to ensure an efficient and competitive environment for the electricity generators and distributors, but it has so far not been able to achieve anything. The power sector (dominated by WAPDA and KESC) is still affected by institutional and organisational weaknesses, with inefficient and non-optimal tariffs, high line losses, and high level of corruption. It has been found weak administrative governance in NEPRA in the form of lack of autonomy, resulting in the overall institutional inability to carry out the desired functions effectively. In addition, NEPRA is lacked in professional expertise to supervise and control the power sector and establish a rational and equitable pricing regime.

Suggested Citation

  • Afia Malik, 2007. "Effectiveness of Regulatory Structure in the Power Sector of Pakistan," PIDE-Working Papers 2007:25, Pakistan Institute of Development Economics.
  • Handle: RePEc:pid:wpaper:2007:25
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    File URL: http://www.pide.org.pk/pdf/Working%20Paper/Working%20Paper-25.pdf
    File Function: First Version, 2007
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    Citations

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    Cited by:

    1. Amir Jahan Khan, 2014. "Structure and Regulation of the Electricity Networks in Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 53(4), pages 505-530.
    2. repec:pid:wpaper:2012:4 is not listed on IDEAS
    3. Jamil, Faisal & Ahmad, Eatzaz, 2010. "The relationship between electricity consumption, electricity prices and GDP in Pakistan," Energy Policy, Elsevier, vol. 38(10), pages 6016-6025, October.
    4. Afia Malik, 2012. "Power Crisis in Pakistan: A Crisis in Governance?," PIDE Monograph Series 2012:4, Pakistan Institute of Development Economics.
    5. Kessides, Ioannis N., 2013. "Chaos in power: Pakistan's electricity crisis," Energy Policy, Elsevier, vol. 55(C), pages 271-285.
    6. Syed Sajid Ali & Sadia Badar, 2010. "Dynamics of Circular Debt in Pakistan and Its Resolution," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 15(Special E), pages 61-74, September.
    7. Imran, Kashif & Hassan, Tehzeebul & Aslam, Muhammad Farooq & Ngan, Hon-Wing & Ahmad, Intesar, 2009. "Simulation analysis of emissions trading impact on a non-utility power plant," Energy Policy, Elsevier, vol. 37(12), pages 5694-5703, December.
    8. Amir Jahan Khan, 2014. "The Comparative Efficiency of Public and Private Power Plants in Pakistan’s Electricity Industry," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 19(2), pages 1-26, July-Dec.
    9. Jamil, Faisal, 2013. "On the electricity shortage, price and electricity theft nexus," Energy Policy, Elsevier, vol. 54(C), pages 267-272.
    10. Muhammad Arshad Khan & Abdul Qayyum, 2009. "The demand for electricity in Pakistan," OPEC Energy Review, Organization of the Petroleum Exporting Countries, vol. 33(1), pages 70-96, March.

    More about this item

    Keywords

    Electricity; NEPRA; Pakistan; Reforms; Regulation;

    JEL classification:

    • G38 - Financial Economics - - Corporate Finance and Governance - - - Government Policy and Regulation
    • L33 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Comparison of Public and Private Enterprise and Nonprofit Institutions; Privatization; Contracting Out
    • L43 - Industrial Organization - - Antitrust Issues and Policies - - - Legal Monopolies and Regulation or Deregulation
    • L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy

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