SPROJ Final Report
K Electric
Electricity shortage across Pakistan becomes rampant during seasons of high demand, with
scheduled load shedding in many areas to meet the demand. [explanation]
Moreover, rising international fuel prices and the fact that the majority of electricity produced by
K Electric is through LNG fuel makes the process very expensive and unsustainable over the
longer run. Thus, other alternatives were researched and a feasibility analysis was run to find
out the optimum alternatives for K Electric to look into.
WHY:
To figure out a more optimal solution for the leading electricity provider to make functional and
technical changes in the process.
The K electric report contained new projects that the company would invest in in the future. The
details are given below:
[insert snapshot]
To calculate the total supply available, the electricity produced from the projects was added per
year to the total supply. These projects went up to 2030. This gave us the supply that K Electric
currently has.
We incorporated the fact that there are bound to be transmission losses with each unit of
electricity transferred. According to the annual report released by K electric, the transmission
losses were 5.1% which were then added to get the actual supply available for the city’s needs.
Then we had to find out the demand for the city.
Since there is minimal data available, the methodology consisted of dividing the total demand
into 5 segments: Commercial, Households, Industrial, Agricultural, and Others. Then, each
demand was found by using figures as a proportion of the whole country. (add citation)
This gave us the electricity shortfall that the city would face. The growth rate for the population’s
electricity demand was applied to match the increased demands over the next years to include
the aspect of dynamic adjustment. It was fixed at 1.8% (assumption) according to previous
years,
The next step is to find out which alternatives will give the highest return at minimal costs and
will be more feasible for the company to invest in.