What is the most economical alternative for the production of electricity to

overcome power failure?

Prepared for: Ms. Maliha Shah

Lecturer of Business Communication

Prepared by: Abdullah Khalil

Waqar Shahid
Nauman Bashir
Roll No: 2012 (Fall) BBA -12-083
2012- (Fall) BBA-12-080
2012- (Fall) BBA-12-089

IB&M - University of Engineering & Technology, Lahore

6 May, 2014

Transmittal
TO: Abdullah Khalil, Waqar Shahid, Nauman Bashir
FROM: Ms. Maliha Shah
SUBJECT: To find the most economical alternative for the production of
electricity.
On April 15, 2014, Ms. Maliha Shah, course instructor of Business
Communication assigned us a report as our final term project, to find the
most economical substitutes for electricity generation in Pakistan. We
were asked to find out the root causes of the problem and to come up with
sound suggestions for the Issue.
The study was conducted through (questionnaire based survey) and after
two weeks of work, we found out that biogas energy system can provide
us most economical electricity at the rate of less than a rupee.
It was concluded that biomass not only provide most economical
electricity but also it is ecofriendly process because it uses wastes and
residues as fuel for electricity generation.
This recommendation made in this regard suggested that this project
needs major attention as it requires sound first time investments.
We are grateful for being given an opportunity to contribute towards the
development of energy sector in Pakistan. This research will be quite
useful for the betterment of the country.

Acknowledgment

All praise to Allah Almighty, who gave us the courage and

opportunity to carry out this investigative research.

We would like to thank Mr. Asad Rehman for his massive help in
work.

We are also grateful to Ms. Saba for her huge support in this
research.

This study would not have been possible without the continuous
support and guidance of our subject lecturer Ms. Maliha Shah

Abstract
This study aimed to examine the most economical resource for
electricity generation by which power failure can be controlled. For this
purpose, a research was done to find out the root causes of the problem
alongside providing solution by selecting 50 students from different
departments of University of Engineering and Technology, Lahore.
Questionnaire based methodology was used to collect data and regarding
information. Statistical procedure was used to record the data extracted
from the questionnaires in Excel which provided percentages of every
answer received from the students. The study found out that biomass can
be the most effective and most economical power generation resource
because of its ecofriendly nature and the easy availability of its fuel

(biofuel).the fuels used in biomass system are quite economical as

compared to other procedure fuels. Based on the findings from the data, it
was concluded that biomass system not only provide us power but also
provide us the environmental benefits. Furthermore, it was recommended
that the general public should be taken in confidence about the project
and provide them sufficient information about biomass system.

CONTENTS

Letter of
Transmittal.i
Acknowledgement.
.ii
Abstract..
iii
Table of Contents..
.iv

List of Tables.
.v

1. Introduction.
...
1.1
Background..
..
1.2
Purpose of the Study.
.....
1.3
Problem Statement...
.
1.4
Research
Objectives..
1.5
Scope of the
Study
1.6
Limitations of the
Study...
1.7
Methodology of the
Study....
2. Literature
Review..
Methodology.
.
3.1
3.2
3.3
3.4

Population..
Sample....
Sampling Technique..
Research Design..

...
3.5 Instruments Used ..
......
3.6 Statistical Procedure
Used...
4. Findings & Discussion ...
.
4.1 Key findings and
results..

4.2 Discussions..
5. Conclusions &
Recommendations..
5.1 Conclusion..
5.2
Recommendations

References..
Appendices.
Appendix A
Appendix B.

List of Tables

1. Introduction:

Table for projection on demand and

supply
2. Literature Review:

Graph on performance of biomass

system
3. Key Findings and Results:
biomass system

Graph on performance of

1. Introduction

1.1Background
In 1947, Pakistan had inherited 60 MW power generating ability for a
population of 31.5 million people and this was expanded to 119 MW by
1959, because the country was stepping ahead in progress. The
government established a new institution in 1958 whose sole purpose was
to provide guidance for Govt. about the projects on water and electricity
that institution was Water and Power Development Authority (WAPDA),
after its first 5 years of operation, WAPDA extended the electricity
production capacity up to 636 MW and the number of villages having
electricity increased significantly from 609 to 1882. The speed of
electricity generation boosted up in the 1970s and 1980s to 1,331 MW in
1970, followed by further growth up to 3,000 MWs in 1980 and 7,000 MW
by 1990/91.

However, Due to rapid growth of industries, factories, urbanization

and noteworthy increment in population of Pakistan demanded a
significant increase in production of electricity led to a shortfall of
electricity in the 1990s, requiring approximately 1500-2000 MWs of
electricity annually at 9-10% rate (1). But the government of that time
dealt this problem with iron hands providing sufficient incentives for power
generating private sector in1994, though shortfall of electricity was
controlled but after many years governments couldnt control the power
deficit which led to crucial energy crises that the nation has ever seen.
There were not any power generation projects that could control the
energy deficit in the long run, but one special project that came into
consideration named Kalabagh dam, was politically sabotaged because
some states of Pakistan were of the view that their water supply would be
shortened if this mega project was actually operated. So the energy deficit
went on increasing day by day causing severe damages to the economy of
Pakistan, there were many small projects working for the generation of
electricity but controlling the shortfall with these kind of projects was out
of question. In the recent years government faced a severe shortfall of
electricity when the supply and demand of electricity difference was
shockingly 5529 MWs in 2010, to tackle this situation, Prime minister of
that time Raja Pervaiz Ashraf took an initiative to overcome this shortfall
by purchasing the ready-made electricity from the independent power
producers (IPPs) but the project wasnt successfully operated because the
electricity bought from the IPPs was expensive, the government asked for
massive loans from IMF which lead to a huge setback to Pakistans
economy. The government already generating electricity through
hydroelectric energy, Oil, Natural gas, thermal power plants, wind turbines
etc. Rather than to go for other resources for electricity generation,
government Purchased ready-made electricity from the IPPs which turned
out badly for the economy. The country is now facing the worst ever
energy deficit.
Table of projection for demand and supply

Projection for Demand and Supply

No. Year
Firm Supply (MW)
(Deficit) (MW)
1
2008/09 15,055
2
2009/10 15,055

Peak Demand (MW) Surplus/

19,080
20,584

(4,025)
(5,529

1.2 Purpose of Study:

The purpose of this study is to find out the paramount substitutes for the power
generation. Out of many resources, bio mass may be the most effective resource for the
production of electricity. Because in a third world country like Pakistan, cheap resources like
those used in biomass system will be effective in the waste disposal as well as in the
generation of electricity that our country is currently facing terribly. Therefore, the present
study was designed to determine the effectiveness and practical applicability of bio-resources
for power generation.

1.3 Problem Statement:

For the last decade, theres been a huge shortfall of Electricity because of
Governments negligence towards power generation by using different cheap alternatives.
Therefore, this study is conducted to find out the cheap and best alternative resources for the
production of electricity.

1.4 Research Objectives:

The current research aims to have a publics perception about the most economical

resource of electricity (biomass energy).

Is this energy project feasible in Pakistan? If so, to what extent then?
Can it fulfill the energy requirements of Pakistan?
Will it be quite cost effective than other resources already operating in power

generation process?
Are the resources of Biomass available readily in Pakistan?

Can equipment be a problem for this project? Would it be costly than other systems

already being used in Pakistan for electricity generation?

Can it be environment friendly system because of garbage consumption in this energy
system?

1.5 Scope of Study:

The search for the most economical substitute for Power generation will be quite
helpful to eliminate the electricity shortfall which is being faced by our country for the past
10-20 years. This project is quite feasible in our conditions, considering the environmental
behavior of Pakistan. Pakistan is mostly comprised of plain areas having massive population
which helps the feasibility of Biomass system, because Garbage can be accommodated as a
general resource of biomass energy system for electricity generation. Other resources for
biomass system can also be easily achieved easily. In Pakistan Weather remains pretty hot in
most part of the year, as the solar energy can also be used as a resource for biomass system, it
is easily available in Pakistan along with plants especially Corn are also readily available in
Pakistan.

1.6 Limitations of the Study:

This research was conducted among the students of University of Engineering and
Technology, Lahore. Students of Electrical, Mining, Polymer and process, Environmental,
Architectural & design engineering, Business students from IBM were questioned in this this
research. This research could have been a lot better if people of different age groups of
different sectors were questioned about the project that is being discussed in this reseach.

1.7 Methodology of Study:

This research was conducted as a questionnaire based survey in University of
Engineering and Technology, Lahore. 50 Students of Different departments were questioned
in this research. They were provided with closed ended questionnaires. Result of
questionnaires were Based on the percentage of responses for each question,
Pie graphs were made through Excel.

2. Literature Review
Mostly people are only aware of the fact that power can only be generated by using
wind, hydroelectric energy, solar energy and other resources but the oldest source of
renewable energy is biomass system. Biomass has provided a lot of energy for a very long
time if it is properly provided with fuel and used accordingly to our needs which are
obviously to produce electricity and gain maximum advantage from this natural resource as
we can. It can do wonders as in recent years it has surpassed in providing electric power than
solar r wind energy and it is also revealed that in terms of capacity it could be the second
largest power generation source. Biomass is a crucial renewable energy source having its
unique resources like, urban wastes, forest remains, waste water treatment biogas, woody
relics, manure biogas and crop deposits etc. As other resources for electricity generation have
environmental risks there are some for biomass too like it can consume a large amount of
water, can initiate air pollution etc. However, many scientists believe that there are many
resources of biomass which can be use d for power generation with their minimal effect on
the environment which is quite a positive sign towards the use of biomass system in Pakistan.
Biomass is actually a renewable energy source, not only because it can also be
achieved from the sun but also due to its re-growth within a very short period of time. A
question that often comes in our minds is that whether sunlight is used in biomass system or
not? The answer is yes, because when the plants do a process of photosynthesis, they absorb
sunlight energy by the conversion of carbon dioxide from air and ground water into
carbohydrates. Carbohydrates are the composite compounds or structures of oxygen, carbon
and hydrogen. When carbohydrates are burnt the energy is released along with the CO2 and
water. It shows the operation of biomass as a natural battery which can store solar energy and
can provide us with an everlasting renewable energy if its low-carbon resources are kept
intact and it can prove quite cost effective as well as there is no oil or other expensive
resources are required for it to generate electricity (2).
Heading towards the estimated analysis on electricity generation through urban wastes
(solid wastes) in Pakistan. Lahore city presently consumes 1000 MW electricity per hour and
it generates the solid wastes of about 5700 ton/per day. So the electricity produced from
fixed investment of 29,272,333 $ by the solid waste of Lahore city turned out to be 85.5

MW/H, providing 1/11th of the total demand of Lahore city, but the significant note taking
was the price of the electricity generated which turned out to be less than a rupee per unit.
Energy produced by solid waste (biomass) will be extra-ordinary cheap and the procedure
will have positive impacts on the environment as well, because the solid waste including,
human waste, food wastage etc. will be recycled for the generation of electricity (3).
Forest residues and wood wastes also used as a fuel in the production of electricity
through biomass system. These are basically the remains of trees left by the process of
harvesting. Theses residues normally contain a massive amount of energy (5140 BTU/pound)
(wet) and it extends to 8570 BTU/pounds when they are dry. The cost of forest residues is as
low as 15 $ to 25 $ per ton indicating forest residue as a very economical resource for
electricity generation in the biomass system, depending on its availability in a country (4). In
a country like Pakistan which is pretty rich in forests and other natural resources, this forest
residue methodology can quite easily work out in the biomass energy system.
One of the important agricultural residues that are used in biomass system for power
generation is corn stover and wheat straws. Both contain massive amount of energies in dry
and wet form. Energy contained in corn stover is 5,290 Btu/lb (wet) and 7,560 Btu/lb
(dry) as well as in wheat straw the amount of energy stored can equal to 5,470 Btu/lb (wet)
and 6,840 Btu/lb (dry). Price of corn stover varies from $20 to $40/ton whereas the wheat
straw costs at an estimated price of $50 per ton. Talking about Pakistan, an Agricultural
country, these agricultural residues would be readily available (4).
Through biomass system, Bio power (electricity) can be produced using the following
methods: direct fired, co-fired, gasification and pyrolysis processes.
Direct fired process in biomass energy system for generation of electricity consumes
100% biomass (wood remains, forest remains, urban wastes etc.) which is burnt
conventionally in boiler, an excessive amount of steam is produced by which the turbines
work and generate electricity.
Gasification process involves the transformation of biofuel into carbon monoxide
(CO) and hydrogen (H2) when a reaction of raw materials takes place at high temperature
along with the precise amount of steam or oxygen, produces electricity.

Pyrolysis process for generation of electricity in biomass energy system involves the
transformation of solid biomass into the transported liquid substance when feed-stock were
reacted to enormous temperature in the absence of oxygen.
Anaerobic digestion process involves the attainment of methane gas evolving from
the decomposed matter (biomass).
The following graph shows the importance of biomass as electricity producer in the
United States of America as they are trying to achieve maximum energy from biomass and
are willing to extend this project for their long term benefits regarding energy requirements
for the upcoming years (5).

3. Methodology

3.1 Population:

Population of this study involves the students of University of

Engineering and Technology, Lahore. Students from engineering and
business departments were questioned randomly.

3.2 Sample:
50 students of different departments (engineering and business)
were selected as a sample for this research study in University of
Engineering and Technology, Lahore. students from departments like
electrical, polymer and process engineering were amongst the top
priorities for this research due to their general knowledge in this field.

3.3 Sampling technique:

For the purpose of this research, sample was selected through
convenient search. Students from different engineering departments were
asked to give their perception about the project by filling out the
questionnaires. Preferably students of electrical, polymer and process and
chemical engineering were asked to fill out the questionnaires.

3.4 Research Design:

This research used questionnaire based survey to gather the
quantitative information or data about this study. The results generated
from this quantitative data were formulated and demonstrated in the form
of Pie graphs showing percentage of response for each option of answer in
the questionnaire.

3.5 Instruments used:

Close ended questionnaire based survey was only the instrument

used in this research. Each question was provided with 3 options which
stood for:
1=Yes
2=No
3=Maybe (neutral)
This questionnaire was filled out by the 50 students which were
selected randomly at University of Engineering and Technology, Lahore.

3.6 Statistical Procedure Used:

Data of the questionnaire was computed separately with the help of
Microsoft Excel. The percentage of respondents who chose each option on
questionnaire for each question was used to illustrate data into Pie
graphs.

4. Findings & Discussions

4.1 Key findings and Results:

This research has shown the feasibility of biomass energy system on
a large scale.

The graph depicts the importance and value of biomass system for
power generation in a country. These are the statistics of USA where
biomass system is already working successfully on a larger scale.
According to this graph, biomass has surpassed wind energy, solar energy
and geothermal energy in the generation of electricity.it has become the
second largest resource for the generation of power. In the upcoming
years, its value would increase by a huge margin because the world would
likely to go for such methods in the production of electricity which provide
no harm or could be less harmful than other procedures for the generation
of power. Biomass is actually the ecofriendly method which generates
power and electricity.
It has been revealed by the research that the residues and remains
of food, wood, waste water and forests etc. can produce biogas through
which Steam is produced which runs the turbines and electricity is
produced in this way through biomass system.
The biofuels used in biomass energy system are way more
economical than other fuels being used in different procedures for
electricity generation. In Pakistan there are many forests as well as the
production of wheat and corn is way more than many other countries
enables Pakistan to use this method quite easily. The garbage or solid
waste of only Lahore city is around 5700 ton/day and if 29,272,333 $ are
invested on fixed basis in biomass energy system it will generate almost
85.5 MW/h of electricity in the most economical price range of less than a
half of rupee (PKR). If only one city can manage to produce such amount

of electricity only through solid waste (biomass system) then it would be

amazing to see how much energy can be produced by the whole country
with these projects working everywhere along with other resources in a
country.
Financing can be a major issue for the inception of this project but
the biomass energy project is never going to fail but it requires a huge
amount of investment on fixed basis once the investment is made, it will
provide us with the most economical electricity because the biofuels are
way more economical then other power alternatives.

4.2 Discussion:
The purpose of this questionnaire based research is to find the most
economical alternative for the production of electricity. As discussed,
biomass energy system can provide us electric power within a most
economical price range of less than a rupee. According to the students of
University of Engineering and Technology, Lahore the biomass system for
electricity generation would be feasible to quite extent as the percentage
of mostly questions asked by them was on the higher side of acceptance
of project. But most of the general public is unaware of the term biomass
which means, its out of question that they know about the generation of
electricity through biomass system. Somehow, the results of the survey
showed that almost 30-40 % of students were not sure whether this
project could work in Pakistan or not? As Pakistan is an agricultural
country enriched with many natural resources, amongst them the biofuels
used in biomass system for generation of electricity are easily available.
But this project demands one time heavy investment and then it will
provide us with the luxury of having economical energy. If a state is not
financially sound and stable the government can use the second hand
equipment for this system to make applicable in Pakistan, if the
equipment is in fine condition then government should have it because it

will save enough money to be spent somewhere else in the project like in
the increment of labor etc.
Mostly students denied that solar energy can be used in this
procedure. Plants do the process of photosynthesis, during this process
plants absorb sunlight by the conversion of CO2 and ground water into
carbohydrates (complex compounds). When burnt, energy is released
along with CO2 and water respectively, this energy is used for power
generation.
The survey has revealed that 52% of students believed that residues
like sugarcane trash, industrial residues like corn, wheat straws can be
used in biomass system for power generation because these are quite
economical and are readily available. These residues act as a significant
biofuel in biomass system.
The study has shown that 76% of students believe that natural
resources of any country can be quite effective in the production of
electricity because any country enriched with maximum natural resources
can generate maximum power to meet their demands, as these resources
are used as a fuel in many power generation processes like excess of
water in a country can be quite useful for the production of hydroelectric
energy from water.
This project is already working successfully in many parts of the
world like in Brazil, USA and many more countries are now taking
measures to take advantage from this renewable energy resource as
much as it could be possible.
According to survey, almost 60-70% people believed that the
biomass system can overcome power failure which is being faced by the
country if this project is applied on a large scale in country. With the
provided supplement of biofuels it can generate enough electricity to
meet the energy demands of Pakistan relatively.

5. Conclusion and
Recommendations

5.1 Conclusion:
Biomass energy brings numerous environmental benefits particularly reducing many
kinds of air pollution and net carbon emissions and the electricity produced from this
resource is quite cost effective and economical (less than a rupee). It provides many
environmental benefits but also offers economic and energy security benefits. Because all the
biofuels are easily available in our own country reducing the requirement to import fuels
from other nations or countries, and reduces our expenses in that supply. With increasing
biomass development, farmers and forest owners gain valuable new markets for their crop
residues.
Biomass process uses wastes and residues or remains as biofuels for generation of
electricity like, wood relics, corn stover, wheat straws, solid waste (food, waste water etc.)
forest residue, manure biogas and crops residue. The different processes named direct fired,
gasification, pyrolysis and anaerobic digestion process are used for electricity generation in
biomass system.
Recently biomass system has surpassed wind energy in power generation capacity
because of feasibility and massive performance by this system on a large scale.
Biomass will become the most dependant energy resource in the upcoming decade
because of shortage of water as well as other resources.

5.2 Recommendations:
Following are some recommendations that need to be considered:

General public should be taken into confidence about the project. Provide them with
all the necessary information to know about the biomass energy project.

Fast growing trees must be planted on large scale in forests to provide biomass system
with consistent forest residue.

New biofuels must be searched as well for the enhancement of this mega project.

To increase the efficiency, the project must be extended on a large scale, supply of
biofuel must not be affected by any means.

The biofuels like urban wastes, residues of forest and wood relics must be stored
nicely at specific places.

Large number of storing facilities should be provided for biogas.

6. References

1- Chaudhry.A (September 2010) A Panel Data Analysis of Electricity Demand in Pakistan

The Lahore Journal of Economics.
2- http://www.ucsusa.org/clean_energy/our-energy-choices/renewable-energy/how-biomassenergy-works.html
3- Khan.R (28-30 Sept. 2011) Utility Exhibition on Power and Energy Systems: Issues &
Prospects for Asia (ICUE), 2011 International Conference
4- http://www.epa.gov/chp/documents/biomass_chp_catalog_part3.pdf

7. Appendices
Appendix A
Questionnaire used for research:

Options
S. No.

Question

1.

Is it convenient using biomass system than all the alternatives to

produce electric power because wastage like garbage and waste

2.

heat can be used for electricity generation?

Do you think energy crisis can be fixed using cheap
alternatives?

3.

Will biomass energy be effective to overcome electricity shortfall in

Pakistan?

4.

It is learnt that electricity produced through biomass system is

quite cost-effective, would you advocate its inception in

5.

Pakistan?
In a country like Pakistan where people normally have the
excessive garbage problem,can sufficient resources for biomass

6.

system be found for generation of power?

Is financing a major barrier for biomass projects?

7.

Can sugarcane trash be used in the (Biomass) power generation

process?

8.

Do natural resources of country like Coal, natural gas, oil

reservoirs and other renewable energy resources increase the
capacity of the energy?

9.

Can solar energy be used for power generation in biomass

energy system?

10.

Do biomass power generating units help combat global

warming?

11.

Do you recommend using second hand equipment (fine

condition) for biomass power plants can reduce the cost?

Appendix B

Yes

No

May be

Statistical procedure used to extract data from questionnaires on Excel is attached.