IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/81264.html

The Direct and Indirect Costs of Power Outages to Small Scale Manufacturing Industries of Punjab

Author

Listed:
  • Abbas, Malaika

Abstract

The paper quantifies the various costs incurred due to power outages in Punjab by the small scale manufacturing sector. The previous studies that calculated the cost of power outrages have focused at a national level only. The type of costs identified are: Direct Costs like spoilage cost and value of output loss and Adjustment Costs like inbuilt power generation costs (capital cost, fuel cost, operation and maintenance costs of generators etc.) and costs of other adjustments. The methodology used for quantifying the cost of outages is based largely on Pasha, et al. (1989). In conclusion, the paper estimates that the total outage cost for small scale industry of Punjab for 2012 is almost Rs. 21 billion which accounts for 12.4 percent of small scale manufacturing value added. Policy recommendations are made to mitigate the impact of load shedding.

Suggested Citation

  • Abbas, Malaika, 2016. "The Direct and Indirect Costs of Power Outages to Small Scale Manufacturing Industries of Punjab," MPRA Paper 81264, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:81264
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/81264/1/MPRA_paper_81264.pdf
    File Function: original version
    Download Restriction: no
    File URL: https://mpra.ub.uni-muenchen.de/83189/1/MPRA_paper_81264.pdf
    File Function: revised version
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Zahid Ashraf & Attiya Yasmin Javid & Muhammad Javid, 2013. "Electricity consumption and economic growth: evidence from Pakistan," Economics and Business Letters, Oviedo University Press, vol. 2(1), pages 21-32.
    2. Rehana Siddiqui & Hafiz Hanzla Jalil & Muhammad Nasir & Wasim Shahid Malik & Mahmood Khalid, 2008. "The Cost of Unserved Energy: Evidence from Selected Industrial Cities of Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 47(3), pages 227-246.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Remy Tehero & Emmanuel Brou Aka & Murat Cokgezen, 2020. "Drivers of the Quality of Electricity Supply," International Journal of Energy Economics and Policy, Econjournals, vol. 10(5), pages 183-195.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kingsley Appiah & Jianguo Du & Michael Yeboah & Rhoda Appiah, 2019. "Causal relationship between Industrialization, Energy Intensity, Economic Growth and Carbon dioxide emissions: recent evidence from Uganda," International Journal of Energy Economics and Policy, Econjournals, vol. 9(2), pages 237-245.
    2. Iftikhar Ahmad & Muhammad Salman Arif & Izzat Iqbal Cheema & Patrik Thollander & Masroor Ahmed Khan, 2020. "Drivers and Barriers for Efficient Energy Management Practices in Energy-Intensive Industries: A Case-Study of Iron and Steel Sector," Sustainability, MDPI, vol. 12(18), pages 1-16, September.
    3. Mark Howells & Brent Boehlert & Pablo César Benitez, 2021. "Potential Climate Change Risks to Meeting Zimbabwe’s NDC Goals and How to Become Resilient," Energies, MDPI, vol. 14(18), pages 1-26, September.
    4. Afia Malik & Ghulam Mustafa, 2024. "Power Sector Debt and Pakistan’s Economy," PIDE-Working Papers 2024:2, Pakistan Institute of Development Economics.
    5. Shahateet, Mohammed Issa & Al-Majali, Khalid Ali & Al-Hahabashneh, Fedel, 2014. "Causality and Cointegration between Economic Growth and Energy Consumption: Econometric Evidence from Jordan," MPRA Paper 59067, University Library of Munich, Germany, revised Oct 2014.
    6. Mohammed Issa Shahateet, 2014. "Modeling Economic Growth and Energy Consumption in Arab Countries: Cointegration and Causality Analysis," International Journal of Energy Economics and Policy, Econjournals, vol. 4(3), pages 349-359.
    7. Shaikh, Salman, 2014. "Tax Increment Financing in Pakistan," MPRA Paper 53801, University Library of Munich, Germany.
    8. Afreen Siddiqi & James L. Wescoat, 2013. "Energy use in large-scale irrigated agriculture in the Punjab province of Pakistan," Water International, Taylor & Francis Journals, vol. 38(5), pages 571-586, September.
    9. Ahmad, Hafsa & Jamil, Faisal, 2024. "Investigating power outages in Pakistan," Energy Policy, Elsevier, vol. 189(C).
    10. Junaid Ahmed, 2025. "Pakistan`s Dismal Export Performance: A Survey of Empirical Literature," PIDE-Working Papers 2025:10, Pakistan Institute of Development Economics.
    11. Jamil, Faisal, 2013. "On the electricity shortage, price and electricity theft nexus," Energy Policy, Elsevier, vol. 54(C), pages 267-272.
    12. Afia Malik, 2012. "Power Crisis in Pakistan: A Crisis in Governance?," PIDE Monograph Series 2012:1, Pakistan Institute of Development Economics.
    13. Matthew McCartney, 2014. "The Political Economy of Industrial Policy: A Comparative Study of the Textiles Industry in Pakistan," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 19(Special E), pages 105-134, September.
    14. Rashid Amjad & Musleh Ud Din & Idrees Khawaja & Nasir Iqbal & Ahmad Waqar Qasim, 2012. "Fiscal Federalism In Pakistan," PIDE Monograph Series 2012:4, Pakistan Institute of Development Economics.
    15. Karim Khan & Anwar Shah & Jaffar Khan, 2016. "Electricity Consumption Patterns: Comparative Evidence from Pakistan’s Public and Private Sectors," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 21(1), pages 99-122, Jan-June.
    16. Sunde, Tafirenyika, 2017. "Energy Consumption and Economic Growth Modelling in SADC Countries: An Application of the VAR Granger Causality," MPRA Paper 86505, University Library of Munich, Germany, revised 24 Nov 2017.
    17. Ghulam Samad & Naseem Faraz & Haroon S. Awan, 2022. "Tariff differential subsidy (TDS) effects and welfare gains in Pakistan," Indian Economic Review, Springer, vol. 57(2), pages 373-392, December.
    18. Abbasi, Kashif Raza & Abbas, Jaffar & Tufail, Muhammad, 2021. "Revisiting electricity consumption, price, and real GDP: A modified sectoral level analysis from Pakistan," Energy Policy, Elsevier, vol. 149(C).
    19. Jabbar Ul-Haq & Hubert Visas & Seyedrohollah Ahmadi & Ahmed Raza Cheema, 2020. "Female Earnings in the Apparel Industry Post-MFA: Evidence From Pakistan," SAGE Open, , vol. 10(2), pages 21582440209, May.
    20. Saba Anwar & Hafsa Hina & Fahad Sultan & Muhammad Ibrahim Khan & Muzaffar Abbas & Perfecto G. Aquino, 2020. "Investments in Energy Conservation: Policy Implications for Pakistan," International Journal of Energy Economics and Policy, Econjournals, vol. 10(6), pages 662-671.

    More about this item

    Keywords

    ;

    JEL classification:

    • E2 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment
    • E23 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Production
    • H4 - Public Economics - - Publicly Provided Goods
    • P41 - Political Economy and Comparative Economic Systems - - Other Economic Systems - - - Planning, Coordination, and Reform
    • P42 - Political Economy and Comparative Economic Systems - - Other Economic Systems - - - Productive Enterprises; Factor and Product Markets; Prices
    • P48 - Political Economy and Comparative Economic Systems - - Other Economic Systems - - - Legal Institutions; Property Rights; Natural Resources; Energy; Environment; Regional Studies
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:81264. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.