Energy - IUCN

In an effort to meet their needs for an adequate and reliable source of energy, many
small and medium enterprises in the Northern Areas have turned to the use of
diesel generators. This, however, considerably increases the price of energ y
production, and means that manufacturing and processing costs in the Northern
Areas are significantly higher than in other parts of the country.
4.1.4. Insufficient Investment in the Energy Sector
Despite the Northern A reas outstanding potential for the development of
hydroelectricity, investment in the energy sector has generally been low; although
hundreds of potential hydel sites have been identified, only a small proportion has
been developed to date. Private sector investment has been constrained by the lack
of enabling policies, incentives and mechanisms, and the fact that the Northern
Areas are not connected to the national grid.
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Table 18: The Current Demand for Electricity in the NA versus Supply
Region Power Demand Energy Available Shortfall
(MW) From Hydel & Thermal (MW) (MW)
2001 2001 2001
Hydel Thermal
Chilas 7.528 5.82 0.4 -1.308
Astore 5.925 3.01 0 -2.915
Gilgit 21.930 11.09 2.5 -8.340
Hunza 7.920 6.94 0.2 -0.780
Ishkoman 2.568 2.76 0 +0.192
Yasin 3.087 1.00 0 -2.087
Skardu 15.731 6.12 0.6 -9.011
Shayok 8.075 4.00 0.4 -3.675
Rondu/Haramosh 2.038 2.22 0 +0.182
Kharmang 5.988 1.88 0 -4.108
Khunjerab 0.611 0 0 -0.611
Ghizar 0.904 1.60 0.2 + 0.896
Gultari 1.000 0 0 -1.000
Total 83.305 46.44 4.3 -32.565
Source: Power Sector Review (NAPWD) June 2001
4.1.5. The Environmental Impacts of Fuelwood and Other
Alternative Energy Sources
In the absence of sufficient electricity supplies, the great majority of the NA's
population makes use of alternative energy sources to meet their needs. There are,
however, a number of important environmental impacts associated with this
pattern.
For example, the continued felling of trees and bushes for firewood, coupled with
rapid population growth, is contributing to deforestation in many parts of the
region (see the chapter on forests and forestry for more details). There is also a
range of social and economic impacts arising from wood collection and use, many
of which fall disproportionately on women and children. These include the