Country Manager, S.M. Jaffer & Co, Syed Saadat Hussain is a NEDian whose university memories are still fresh and believes his alma mater his second home is a success story sailing along his company that has 73 years of history in the power sector. Engr. Hussain inducts two NEDians every year and it has continued for the last 15 years as a part of his company’s industry-academia collaboration. He spoke on a variety of issues around power generation.
ER: SM Jaffer is a success story, how did this story evolve and how is it going despite uncertain economic times in Pakistan?
SSH: When companies become a brand and achieve recognition then things become easy. S.M. Jaffer & Co.after 73 years of its history, is a brand; the people come to us for our names and identity. They know about our services.
For any hi-tech engineering company, backup engineering services are more important than the quality of the product. For the last 24 years, I have tried my best to offer the best backup services to customers. Because even if you give the best brand, the customers may face problems if the backup services are not up to the mark.
Now about how we cope with the ups and downs of the country’s economy. These situations are a reality and they come back and forth but since we are so recognized we survive despite some occasional dives on the graph. Let me share with you that we touched 60-70 percent sales even during Covid – 19 pandemic. While everything was at a standstill no matter what, I was expecting 10 to 20 percent sales only. In the next year (2020), we recorded a 20 percent growth. It all happened because the company proved itself to be a real solution provider. Now, the people are attached to the company and go nowhere but to us.
There has been potential in the power sector all the time despite issues. Maybe we grew for this potential and also our foothold in other forms of generation like solar and UPS systems.
Gas generators may go up and down because of gas supplies but diesel generators will never stop being used no matter if Pakistan attains zero load shedding. Why? Because it is supposed to be installed as a standby.
For instance, FG Wilson manufactures 80 thousand generators a year and 60 percent of them are consumed in Europe only. Is there any power load shedding in Europe? If we go by the book, these generators are a must as a standby facility, especially in public places. Thus the requirement will never vanish.
ER: Does it mean the market for diesel generators will continue to grow in Pakistan?
SSH: Yes, it will continue to grow in Pakistan. Here the industry is moving ahead largely by book. There are many sectors here wherein these generators are being used. For instance, every builder is installing it be it commercial or residential building; standby generators are there. Likewise, government buildings and hospitals need it too.
ER: If Pakistan’s economy comes out of its current impasse and starts functioning normally, is your company capable enough to meet the demand in the market?
SSH:Yes, we are geared up by the grace of God. Let me share the picture of Pakistan’s power generation at present. Pakistan’s installed power generation capacity is over 47 thousand MW and is falling short of our national requirement. Our per capita consumption stands at 64 to 70 watts whereas in India it is 160 watts. Europe is far ahead of us. We need solid planning as we don’t have enough capacity even after 75 years of independence. Although things are moving in the forward direction, we still lag behind. Of the total capacity, over 60 percent comes from fossil fuels. Our trade deficit continues to grow because of oil imports. A year back our oil import bill was over US$3 billion which has inflated to US$8 billion now. Now we are trying to focus on renewable energy.
ER: Before coming to renewables, we would like to know what products and services your company is offering in the market.
SSH: When I joined, this company had only generators as a product in the power sector. Over time, we took a step towards expansion. Then during the last decade, as the trend goes for allied and connected products, we moved on ahead. I took this idea and went forward and expanded our product. We are a commercial company. We see our growth and gain benefit through picking up the job that suits us and is compelled by the demand of the time.
Then we added ABB’s UPS, a famous brand that we added some ten years back. Its application is in line with the generators. Then busways were introduced, used as power cables and also in lighting. It is a Turkish product.
Moreover, we moved on to solar. We started with industrial solar starting from 500 KW and did quite big projects with companies like Qasim Textile, Abbot, etc. We have installed projects ranging up to 1 MW.
ER: We are moving towards green energy, do you think it will make a difference in our import bill because most of the solar components are also imported?
SSH: The difference is that in fossil fuel generation, equipment, as well as fuel, are imported whereas solar fuel is your sunlight which is purely yours and needs no money to import. Solar does not have a recurring cost. People say you should not depend heavily on renewables because it is not necessary that you get sunlight and wind all the time. So we need to work on that.
Countries around the world have less chunk of power over fossil fuels. For instance, like in India, we can use bagasse which is available here to the tune of 64 thousand tonnes in Pakistani cities. It can be used for power generation. We need to work on various ways for power generation.
ER: Since we have switched to renewables, do we have a social, economic, and industrial setting for that?
SSH: Yes, I think, we have the infrastructure, people have awareness and I don’t see any reason for not proceeding towards renewables. Also, the demand shows people are adopting it but still need more awareness through seminars and workshops.
ER: Keeping in view the track record of your company, did you ever think to produce a purely locally made product?
SSH: Yes, we attempted it once. It is not rocket science but the price turns out to be not competitive. The locally made product becomes more expensive than the imported one as per my costing calculations. Thus, government initiatives are required in this respect.n
Secret behind success of S.M. Jaffer & Co
Basic Technical & Commercial Aspects of Solar System
We have seen rapid evolution in technology, especially in the last 50 years and this has not yet stopped. We have now named it the fourth industrial revolution. Like we used to call computers, the internet, or smartphone our life-changer, we are now familiar with the terms big data, artificial intelligence, and blockchain to redefine the common man’s life. These developments are also helping R&D in solar technology.
This article tries to cover all basic commercial and technical matters of the Solar system especially related to the Pakistan market using friendly terms.
In the first phase of any technological invention, it is only available for limited users. However, in the second and third phases, it is widely and commonly available.
We could find the first solar Electricity plant as old as in 1968 in Italy. However, only in the post-2000 era, it has become available on a large commercial scale and the development has been so rapid after 2016 that we find new specs for solar plates every six months or year.
WHAT ARE THE TERMS YOU SHOULD KNOW ABOUT SOLAR PANELS?
Although we could have 15-20 technical terms associated with solar plates, we only shed light on the below most relevant terms:
Material: Silicon is the basic raw material in solar plates, the outer surface is made of glass. Solar plates work on the principle of photovoltaic effect, that means it converts light energy into Direct current (DC) Electricity. The three common types of material used are Polycrystalline, Monocrystalline, and thin film.
DC output (Watt): Initially, the DC KW output of the solar plate was 150W and it gradually increased from 250W, 330W, and 435W and now a 590W size plate is available in Pakistan.
Efficiency & Size: Efficiency defines solar plate capability to provide useful KW output in the minimum surface area. The efficiency rating measures the percentage of sunlight hitting the panel & getting turned to usable electricity. The efficiency depends on the spectrum and intensity of the incident sunlight and the temperature of the solar cell. The solar plates being available today have an efficiency of around 11-15%.
Size: The higher the efficiency, the lesser the surface area needed for solar panels, currently a solar plate with 590W output has a size of around 3.5 x 7.9 ft. Similar to mobile phones and memory cards, we expect solar plates to generate more power in less space, which means far more efficiency in the future.
WHAT ARE THE POSSIBLE APPLICATIONS OF SOLAR POWER?
Historically, we use solar energy mainly for heating purposes but with the development of solar plates, we are now using it for generating electricity which in turn being used in the following applications:
• AS AN ALTERNATIVE TO GRID POWER:
The first & biggest application is to convert Solar Panel DC output to AC output and then use it as a source of Power alternative to our normal power from Grid/utility. We can put this system in our home with few solar plates or we can make a large-scale power plant with thousands of solar plates connected.
• TO RUN DC APPLIANCES:
The other applications are direct use of solar DC output for an appliance. In this case, the appliance is designed to run on solar power, sometimes the manufacturer provides both special solar plates together with the appliance. Examples are solar pumps, solar lights, solar air conditioners, solar heaters, and so on.
• TO CHARGE STORAGE BATTERIES:
The third application is to use solar power output to charge storage batteries, these batteries then provide power after sunset.
WHAT IS THE BENEFIT & ROI OF EACH APPLICATION?
When we talk about using solar plates as a source of AC Power, we should know that the return on investment depends on:
• Self-consumption
• Net metering (selling power to utility)
• USING SOLAR FOR SELF-CONSUMPTION:
Being a consumer, you should get a fast return on investment if you can completely self-consumed solar power output as it will reduce your electricity bill. However, if you generate power more than your personal use even then you get compensation in your bill via Net metering but you must know buying power from Grid is at higher rates while selling power to Grid is at a lower rate. So, one should know its consumption pattern before deploying a Solar system for the best return on investment. Generally, the ROI for solar investment is 3-5 years.
• USING SOLAR FOR SELLING TO GRID:
When an investor puts a large-scale solar plant only to sell AC power to Grid then it deals with Govt for a long-term agreement on rates, which will define its investment feasibility. In Pakistan, AEDB (Alternative Energy Development Board) is the central Govt body that deals with all the approval and agreements for renewable projects.
Here, we share for the interest of readers that the largest solar plant in the world is Bhadla Solar Park – 2245 MW, located in Rajasthan Jodhpur District India with Pakistan’s largest solar panel is Quaid-e-Azam Solar Park 400MW, located in District Bahawalpur.
• USING SOLAR FOR APPLIANCES:
The second application of using solar output directly for appliances provides the highest return on investment. Although these systems (appliance + solar plates) are more expensive than conventional AC appliances if you calculate expense on account of Diesel Generators operation & maintenance in remote areas where grid power is not available then these would prove to be a better option.
WHAT IS NET METERING?
Power Distribution companies bill consumers (Home, factories, commercial complex, etc.) via conventional meter, this meter doesn’t differentiate whether power is consumed by customer or customer has supplied power to Grid and it always bills towards the customer, while NET Metering is a billing mechanism that offers credit to residential and business customers who are making excess electricity with their solar panel systems and exporting it to the grid. Below is the procedure to get Net metering done in Pakistan.
• You hire a contractor that is approved by AEDB (Alternate Energy Development Board)
• This contractor finishes the installation and submits a Net Metering application form to a primary utility company (KE in Karachi).
• Pay Order on behalf of NEPRA needs to be submitted along with the application form which is equal to 1000 Rs/KW.
• You will get the ticket and your Electricity provider whether K-Electric, IESCO, HESCO, etc. inspect your installation and approve safety assurance. The respective power distribution company replaces the meter after the challan is submitted.
• You will get the first bill after 03 months of installation of the Net Meter.
• Note that Meter should be three-phase (For Karachi Only) and it must be in the owner’s name and 5 times PV can be installed as compared to your sanctioned load.
HOW BANKS ARE HELPING WITH SOLAR INSTALLATIONS?
Banks provide loans with a 6% mark up with easy installments from 3 – 5 years whereas customers need to pay a 25% minimum down payment. Note that Bank provides loans only for Net Metering installations and it will require you to engage the only bank-approved solar installers in the project and property and the meter should be in the name of the applicant.
SOME KNOWLEDGE ON SOLAR INVERTER?
As we mentioned in the previous para that the two applications where we use solar plates as a source of the alternate power, the power is converted to usable AC power via Inverters.
According to the application of the inverter, we could classify it into three types:
• ON-GRID INVERTER:
This kind of inverter converts Direct Current (DC) electricity into Alternating Current (AC) Electricity however to generate output it needs availability of a primary Grid source. It synchronizes its output voltage and frequency to the mains power supply. This is ideal where the user only needs solar power during the daytime and a Grid supply is always available.
• OFF-GRID INVERTER:
Simply opposite to ON Grid inverter as it does not need the availability of Main Grid to produce output from Solar plates. However, it is preferred a set of the battery connected to it. During normal operation Inverter output fed the load and also charge batteries, after sunset or during cloudy weather when inverter output is decreased, charge batteries provide backup power to load. It is ideal for remote places where no Grid supply is available.
• HYBRID INVERTER:
ON Grid inverter connect with AC Grid & load while OFF Grid connects with batteries & load, however, HYBRID inverter has provision to connect with AC Grid, Batteries and load. A hybrid inverter (sometimes referred to as a multi-mode inverter), We can prioritize the output of the inverter to be used to charge storage batteries or to serve the load connected to it. It can also serve load through solar power and charge batteries via Main Grid power depending on selection. It is an expensive inverter compare to ON Grid and it is ideal for places where we have planned or unplanned outages of utility Grid.
WHAT ABOUT MAINTENANCE & LIFE CYCLE?
Solar panels need regular maintenance especially in dusty areas, the performance & efficiency of solar plates decreases with time and it has a useful life of up to 25 years but it could work beyond that as well.
All large-scale solar plants have ground-mounted solar plates where maintenance is easy. However, in the case of a rooftop, we can have both ground-mounted or elevated structures. Elevated structures help in putting more solar plates in the same covered area however it is difficult for maintenance.
There are special vehicles, Drones and wipers, and other tools available for efficient cleaning of solar panels.
HOW GOVT IS HELPING IN PROMOTING SOLAR INSTALLATIONS?
We know that there is a 17% sales tax applicable on the trading of all products in Pakistan whereas there is 0% sales tax on Solar plates & solar inverters. To ensure only A-Grade material solar plates are imported in the country, AEDB has a guideline document “Process flow for Import of solar PV equipment in Pakistan”, according to this document, importers need to produce quality certification from independent Lab before clearance of the shipment.
Because no adequate and large-scale testing lab is available in-country, many importers get the required certification done at the origin country. However, still, people complain about a lot of low-grade material circulation in the market and therefore one should be careful in purchasing solar panels from any unknown company.
HOW SOLAR SYSTEMS ARE BEING TRADED IN THE MARKET?
All world-leading solar panels manufactures have their representative available in Pakistan, they create an agreement with different large-scale importers /stock keepers, these importers order many containers in advance and sell into the market. The middle contractor companies purchase solar panels from these importers and provide complete solutions with installation & commissioning to users.
While large scale contractors purchase solar panels directly from manufacturers and provide complete turnkey solutions to Govt or big customers.
AEDB also recognizes different categories of solar installers based on their capabilities to handle the size of the project i.e., ARE-V3 up to 50kW, ARE-V2 up to 250kW, ARE-V1 up to 1000kW
HOW PRICING IS DONE?
Internationally solar panels are sold with per watt pricing and similarly, contactors sell complete systems with per watt pricing, for example, in Pakistan, the price of the latest 590-watt solar plates is PKR 40 ~ 44 per watt, similarly, complete installation of the solar system is PKR 100 ~ 120 / watt. This is the base figure and the actual price may vary according to special site requirements.
WHAT ARE KNOWN AND SOLAR BRANDS & INVERTERS AVAILABLE IN PAKISTAN?
International banks approve loans against certain solar brands to be used in large scale projects, these we called bankable solar panels, some of the famous solar brands available in Pakistan are
LONGI, Trina, JINKO, Canadian Solar, JA Solar, Hanwha Q Cells, Risen Energy, etc.
Similarly, the following are the famous solar inverter brands available in Pakistan
SMA, Huawei, Fronius, Sun grow, Solis, GoodWe are available in the ratings of 5kw, 10kw, 15kW, up to 200kW
WHAT ABOUT LOCAL PRODUCTION?
Few companies are working to develop solar plates locally in collaboration with Chinese companies but we are far away from reaching the global quality standards and it required mass scale production to achieve competitive pricing. Govt, academia, and industry need to put joint efforts in achieving this milestone which may turn around Energy transformation in Pakistan.
WHAT IS THE FUTURE POTENTIAL OF THE SOLAR SYSTEM?
In Pakistan, at least 50 million population and around 25% land area does not have utility Grid coverage and the transmission Network would be too costly for arranging power in those dispersed areas & population, locally installed Solar plants would be an ideal solution, in addition, there is huge potential in urban areas for both domestic and industrial use.
Pakistan renewable energy has been slow to develop and it has only a 4% share out of the total energy mix, however, in April 2019, Govt announced an ambitious target of 30% share of the renewable Energy mix that is from solar, wind & biomass, this is to achieve by 2030.
With favorable govt policies and every improving pricing of solar plates because of development in technology, we hope to achieve the goals set by govt.
Westinghouse in Pakistan –
Offering a wide variety of
LV and MV solutions
Westinghouse is offering a wide product portfolio of low voltage and medium voltage switchgear, Dry Type Transformers, Ring Main Units, and Uninterruptible Power Supplies (UPS) to serve the evolving industrial requirements in Pakistan.
Westinghouse is an internationally recognized company with a deep known legacy of quality products and services. Having a presence in every nook and corner of the world, Westinghouse’s footprints are in North America, Europe, Greater China, the Middle East, Africa, Turkey, Asia, and Latin America.
We see Pakistan as a growing market with enormous demand for low and medium voltage solutions and potential challenges in the fields of safe electrical distribution. Westinghouse, continuing its more than 100 years of legacy in the field of electrical engineering and manufacturing innovation, has always been on the forefront of such challenges by providing top quality products and solutions.
Since 1886, Westinghouse has brought the best to life. Built on a heritage of innovation and entrepreneurial spirit, Westinghouse products were the first to supply the United States with AC electric power, transmit a commercial radio broadcast and capture man’s first step on the moon.
Today, our legacy lives on with technologies that are transforming the human experience, ranging from medium and low voltage power distribution solutions to a diverse portfolio of products ensuring a safe and reliable electrical infrastructure.
Westinghouse is committed to meeting the increasing demand through our partners and support channels. We have already executed several projects in Pakistan and have a reasonably good installed base for MV Switchgear, Dry Type Transformers, and Ring Main Units, and Uninterruptible Power Supplies (UPS). It is quite encouraging that numerous recommendations have already been received for the channel partnership, but all are under careful contemplation via the KYC
Advocating Sustainably for a Sustainable Future By Special Arrangement from Pakistan Cables Ltd.
Paying attention to environmental, social, and governance (ESG) issues is becoming increasingly critical for all companies across all industries.
The message from the ongoing climate change crisis and subsequent call for action is clear – businesses need to align a sustainability strategy, set sustainability targets, and reap rewards in harmony with the communities it serves.
Sustainability is best defined in the 5th grade Science textbook as ‘the practice of using natural resources responsibly today, so they are available for future generations tomorrow’. Forests made up about 30 percent of Earth’s land mass in 2015, but that number is at risk of decreasing. The world population is expected to increase from 7.6 to 9.8 billion people by the year 2050. To decrease our dependency on fossil fuels, many scientists are researching renewable energy sources.
As the expectations on corporate responsibility increase, and the need to respond to the rapidly growing social and environmental challenges arise, as a business leader Pakistan Cables responded by speeding up its efforts to act on sustainability.
The Company has a rich history of investing in sustainable business practices. However, more recently, the following sustainability initiatives illustrate the Company’s lead on advocating sustainability within the industry:
First to launch a true innovation in the industry – ACCC® conductors, which are proven to reduce Green House Gases (GHG) and Carbon di Oxide (CO2) emissions. It is the first electric transmission in its history to earn the SCS Global Certification. This makes ACCC® conductors as an ideal choice to counter the growing demands of the power sector in adapting efficient solutions that guarantee low carbon footprint. It is installed in over 250 utilities globally, over 50 countries with over 110,000 km of ACCC® in service completing 800 projects completed worldwide.
Recently, the Multan Electric Power Company (MEPCO) upgraded to ACCC ® Drake conductors for its 132 kV transmission line from KAPCO to Kott Addu Grid station and reconductored its existing AAAC Greely Conductor. As a result, the capacity of the transmission line grew from 1,800 Amps to 3,200 Amps. With its decision to pilot an innovative technology available in Pakistan, MEPCO successfully increased the capacity of the transmission line by 78 percent and a substantial reduction in line losses. Interestingly sag profile of the transmission line also improved, which was a huge relief for the residents residing in buildings under the transmission lines. Without any modification to the structure, the reconducting was successfully completed by Pakistan Cables Ltd. on behalf of MEPCO.
Pakistan Cables Ltd. has three successful installations nationwide. During 2018-2019, Pakistan Cables Ltd. completed the qualification process for producing ACCC® conductors at its manufacturing facility in Karachi which was conducted under the supervision of CTC Global Inc., USA.
Pakistan Cables became one of the first 26 local companies who signed the Business Ambition For 1.5°C Commitment in October 2021. The pledge is aligned with Company’s ambition of keeping warming to 1.5°C and reaching science-based net-zero emissions by 2050. Pakistan Cables has long been an advocate of green initiatives and is proud of its commitment to advocating sustainability in businesses and among communities by standing united with global business leaders on climate change.
Planted over 40,000 trees were successfully planted at the Pakistan Cables Urban Forest spread across 3 acres at its upcoming manufacturing facility in Nooriabad. The Pakistan Cables Urban Forest is the first and largest Miyawaki- based urban forest on an industrial estate. It is home to 69 native species which include olives, pomegranate, neem, and various other species.
For almost three years Pakistan Cables in collaboration with HELP Balochistan, a non-governmental organization (NGO), supports distribution drives of solar lamps regularly to the miners’ communities in Balochistan. A European company produced a drinking straw that filters bacteria, so people can safely drink water from contaminated ponds and lakes. Pakistan Cables, once again, collaborated with Help Balochistan to distribute the drinking straw as well as drinking water vessels in parts of Balochistan where the local community does not have access to clean drinking water for decades.
Pakistan Cables also offersALUMEX®, a diversified range of aluminium profiles that are extruded from prime quality imported AA 6063 billets. This is the internationally recommended Aluminum grade for architectural and structural applications. These sections are anodized on a fully automated plant. Anodized sections are offered in 4 different colors, while powder-coated sections are available in any imaginable color to match the taste of the customer. For all powder-coated sections, only polyester-based powders are used, which are manufactured and supplied by reputable companies. These coatings are thermosetting types, especially designed for ‘façade’ use. They can withstand the rigors of ultraviolet rays in the atmosphere.
Pakistan Cables introduced its Wiring Accessories range during 2021 and delivering on world-class quality and safety through it. All products manufactured under this category adhere to the latest British Standards with approvals from BSI and proudly wear the ASTA diamond mark.n
What’s special about 11th IEEEP Fair
The 11th Fair of the Institute of Electrical and Electronics Engineers of Pakistan, (IEEEP) has begun unfolding itself starting today—August 30, 2022— has a couple of features that may distinguish this event from the ones the institute has been holding over the last many years.
Of these features, Pakistan’s socio-economic conditions which are historic as well as defining for their deepening political troubles and economy may have a reflection on the event. It will be important in both ways if they leave any impact or just slips by quietly.
Then this moot is being held after almost two years and as expected there would be a level of interest on the part of exhibitors but the presence and degree of participation would demonstrate many things in terms of the strength of the engineering industry in Pakistan. Also, the excitement of foreign companies will come into the count.
The last feature is the institute’s effort to encourage local manufacturers to be on the radar as to how it has materialized here in the exhibition and yielded any output.
A few days before this event, the interaction with IEEEP luminaries and analysis of media content suggested that the institute’s efforts have borne fruits and the number of local manufacturers will confirm it. A complete hall of the Expo Center was most likely to house the local engineering industry.
Yet another aspect that deserves appreciation is that the institute has a serious thought to encouraging local consultancy and O&M services in Pakistan. At present, this area is occupied by foreign companies and if such a thought is materialized, local companies may have space in this field.
The social media page of IEEEP says that the Industrial Electrical & Electronics Exhibition of Pakistan will prove to be the country’s premier exhibition covering the very latest technology in electrical, electronics, lighting, industrial instrumentation & control, allied services, and other related industries.
The event offers an exclusive networking platform for local and international participants to avail multiple opportunities for meeting the key decision makers, manufacturers, and system integrators, in particular, build contacts with traders and services providers and land major deals with international partners.
The organizers have transformed the program this time and put up three panel discussions instead of traditional technical presentations by exhibitors.
The first panel discussion is named ‘Make in Pakistan’ and Engr. Mehmood Ul Haq, Chairman Haq Holdings, Engr. Irfan Ahmed, Energy Consultant, and Engr. Ishtiaq Ul Haq, Business Consultant have been invited as panelists.
The second discussion is titled Textile Industry: Challenges and Solutions. The list of panelists includes Mirza Ikhtiar Baig, Shaikh Shafiq and Engr. Tahir Saleem.
The third panel discussion is on Construction Industry: Challenges and Solutions. Hanif Memon, Hanif Gohar, and Danish Bin Rauf have been invited as panelists.