Cheapest to produce electricity is coal with a second best gas as its very cheap nowa days .
Solar , wind look good on the resume but what we need is cheaaap energy so our industries run .
I agree with you. I'd be the last person to suggest to go buy something for $ 5 when you can get it for $ 3......that's common sense. However, there are issues here with Solar energy. Here are a couple of them:
1) Coal plants: yes, I agree, much cheaper AT THE END. But that means, the entire coal infrastructure (Supply Chain) has to be built. Supply Routes through railroad, trucks, etc, etc. A Coal based plant needs constant coal supplies. You have one central highway from British Era currently linking the entire country. The motorways will become backbone after the CPEC project makes sure the network of highways exists in Pakistan. So till then, what do you do? Sit around, make your industry suffer and not do business?
2) Strategic Issues: The GSP Plus from the European countries is a three year deal. Let's say, if you made a BILLION in profit in these three years (just a small example, not real numbers as they should be much higher). So by increasing economic throughout, providing millions jobs, and producing a billion in profit, say you paid $ 50 million extra in energy as Solar is the quickest way to get energy and yes, a little more expensive (in this case, you don't have railroads or highways established with Coal supply routes yet).
So really, you lost $ 50 million (called the "Opportunity Cost") but STILL made $ 950 million profit (minusing the extra electric charge you paid, millions of jobs, running industry, etc, etc)......you don't think it makes sense? I think it makes ALL the sense in the world to do this.
3) Cost - Benefit Reasons: Let's talk about Solar tech being expensive. It is primarily because it is NEW to Pakistan. Going forward, Pakistani companies will be producing these Solar cells and peripherals. That would start ANOTHER round of industry, job creation, etc and will introduce Pakistan to the Solar tech industry as an established player.
So as Pakistan made parts hit the market, OR the Solar plants grow in number, the economies of scale will be reached and the cost would drop overall towards the end of the last few plants (buying one car is more expensive, cutting a deal with a dealer to buy ten, is always cheaper). So eventually, what you are paying $ 5 for, today, will become $ 2-3 in the long run after all Solar based plants start to work. You can further drop it to $ 1-2, if everything was made in Pakistan (long term vision).
4) Future Prospects with Solar Tech for Pakistan: Lastly, Solar technologies are being used in Buildings, Homes, Water Pumps, Ships, Electric Turbines, Satellites, Computers, Military applications and hardware, etc, etc. For a country like Pakistan, it is a Must-To-Master technology.
By putting in plants from Chinese help is killing two birds with one stone, immediately or much quicker, generating electricity and also, learning to use Solar tech. And later on, expanding its use inside Pakistan and earn billions long term as an industry.
WHY complain about some additional millions being spent when there is a MUCH longer term strategy which would start a whole new industry in the country, resulting in billions of business in the future???
When you go to school to learn, you pay for it. Does that mean the education is a waste or time and money when its going to provide you with income all of your life? Same rule applies here.