Multiple-Criteria Policy Anaysis of Circular Debt in Pakistan

Abstract

With the increase in electricity usage through developing countries, the financial crises has enveloped due to energy poverty. Issues such as circular debt are now a major factor that has a drastic impact on the economic condition of such countries. Power sector, being a major constituent of the economic structure of such countries, has a major role to play for changes in economic condition. This paper numerically evaluates the financial challenges in power sector and the inevitable shortcomings in policies with growing circular debt. The case study has been performed on Pakistan and solutions are proposed to mitigate this financial debt with comparative analysis of increasing share of renewables and inexpensive energy in electricity market.