The Future of Power Generation: A More Competitive Market
The Cabinet Committee on Energy (CCoE) recently approved the establishment of an Independent System and Market Operator (ISMO) in Pakistan. This move is set to revolutionize the power industry by creating a multiplayer market for electricity generation and purchase, ultimately decreasing the government’s role as the sole purchaser of electricity.
Experts believe that an independent operator like ISMO can efficiently connect buyers and sellers of electricity, leading to increased market competitiveness and lower prices for consumers. The ISMO will allow power consumers to choose their electricity suppliers, moving away from the traditional single-buyer model.
According to Ammar Khan, a professor at the Institute of Business Administration (IBA) Karachi, ISMO will not only create a more competitive market but also improve efficiency in power generation and delivery. This can result in lower electricity prices, better deals for consumers, and a more reliable energy supply.
Overall, the decision to establish ISMO signifies a significant step towards a more transparent, independent, and competitive electricity market in Pakistan, benefiting both consumers and the power sector as a whole.