Power generation went up by 12.7% YoY to 14,657 GWh (19,700 MW) during May’22, compared to 13,010 GWh (17,486 MW) during May’21. The rise in a generation was owed to higher generation from Wind, Bagasse, FO, Nuclear, HSD, Solar, RLNG and Hydel.

Major contributors during May’22 were Hydel (share: 24%), RLNG (share: 23%), Coal (share: 14%), Nuclear (share: 13%), Gas (share: 10%), FO (share: 9%), Wind (share: 5%), Solar (share: 1%) and Bagasse (share: 1%).

FO-based power generation increased by 67% YoY. Wind, Bagasse, Nuclear, HSD, Solar, RLNG, and Hydel-based generation also increased by 93%, 72%, 49%, 40%, 35%, 19%, and 4% YoY respectively.

During May’22, fuel cost for power generation increased by 28% MoM and 131% YoY to an average of PKR 13.15/KWh compared to an average cost of PKR 10.24/KWh and PKR 5.70/KWh during Apr’22 and May’21, respectively.

Fuel cost reached an all-time high of PKR 13.15/KWh during May’22

The rise in fuel cost by 131% YoY to PKR 13.15/KWh during May’22 was led by the following reasons:

· Coal based cost of generation went up by 130% YoY to PKR 18.02/KWh during May’22 due to 295% rise in international coal prices.

· RLNG based cost of generation also increased by 178% YoY to PKR 27.93/KWh due to 169% YoY rise in RLNG prices to PKR 4,232/mmbtu (USD 21.83/mmbtu).

· FO based cost of generation went up by 135% YoY to PKR 33.68/KWh.

· Gas based cost of generation also went up by 29% YoY to PKR 10.12/KWh.

Courtesy – AHL Research