ISLAMABAD, June 8: Conceding the obvious power crisis across the country, the prime minister's adviser on Finance promised on Friday to bring new power projects on stream shortly, including KESC's $150 million project to supply additional 750MW of electricity to Karachi where power cuts have caused riots.

"Power crisis is a matter of concern for which we need to have more power projects, particularly hydel projects. But since there is no consensus on building the Kalabagh Dam, these cannot be started," Dr Shah told reporters.

Releasing the Economic Survey 2006-07 at the news conference, Dr Shah blamed the Karachi Electric Supply Company (KESC) for failing to stop transmission and line losses and electricity theft due to which Karachi and some other parts of Sindh had been subjected to 14-16 hours unannounced load shedding daily.

He said it will take two to three years to resolve the current power crisis by establishing a number of new power projects.

The current 1500MW power shortfall is said to be increasing to 2500MW next year for which no planning has been done by the government.

Dr Shah said that the KESC existing power project at Bin Qasim was being expanded to have additional 750MW of electricity for which the Asian Development Bank (ADB) will provide $150 million financing.

The adviser said that thermal power generation was an expensive activity which cost 12 to 14 cents for each electricity unit against 4-5 cents of hydel generation.

He said the government would build Bhasha Dam, Akori Dam, Kurrum Tangi and Monda dam and Kalabagh Dam to have enough power for industry as well as for agriculture. "But I told you that the Kalabagh Dam is a problem in a sense that we cannot initiate in the absence of consensus among all the political parties of the country," he added.

He referred to the Economic Survey, which said that in order to enhance and strengthen its power generation capacity, Wapda has undertaken feasibility studies and construction work for a number of hydro/thermal power projects. He said work on Allai Khawar (21MW), Khan Khawar (72MW) and Dubair Khawar (130MW) hydro projects is in full swing. Implementation on Nelum-Jhelum (969MW) hydro project will commence shortly. Feasibility studies of a number of the hydropower projects are underway including Bhungi (5400MW) and Kohala (600MW).

After the completion of these projects, the installed capacity is expected to increase from 17431MW to about 42000MW by the end of the financial year 2016.