Pakistan is situated between latitude 33° 42 ́ North and longitude 73° 10 ́ East. On the west border of the country is Iran, India is on the east, Afghanistan in the north-west, China in the north and the Arabian Sea is on the south. Pakistan has a strategically advantageous location vis-à-vis being a geographical centre of the Asian Continent. Forming a bridge between the Middle East and the Far East, Pakistan can be a hub for trade and communication. A wide transportation network complements this strategic placement. With three major international airports and 38 domestic airports, Pakistan serves more than 50 international airlines. Pakistan also has Karachi, Port-Qasim and Gawadar sea ports.
Pakistan has a continental type of climate, characterized by extreme variations of temperature. Very high altitudes modify the climate in the cold, snow-covered northern mountains. Temperatures on the Balochistan Plateau are somewhat higher. Along the coastal strip the climate is tempered by sea breezes. In the rest of the country temperatures rise steeply in the summer and hot winds blow across the plains during the day. The daily variation in temperature may be as much as 11 degree C to 17 degree centigrade. Winters are cold with minimum mean temperature of about 4 degree centigrade in January.
Punjab also spelled Panjab, is the most populous province of Pakistan, with approximately 55.06% of the country's total population. Forming most of the Punjab region, the province is bordered by Kashmir (Azad Kashmir, Pakistan and Indian occupied Jammu & Kashmir) to the north-east, the Indian states of Punjab, Rajasthan, and Gujarat to the east, the Pakistani province of Sindh to the south, the province of Balochistan to the southwest, the province of Khyber Pakhtunkhwa to the west, and the Islamabad Capital Territory to the north. The Punjab is home to the Punjabis and various other groups. The main languages are Punjabi and Saraiki and the dialects of Mewati and Potohari. The name Punjab derives from the Persian words Panj (Five), and Āb (Water), i.e. (the) Five Waters - referring to five tributaries of the Indus River from which is also the origin of the name of "India" - these being Jhelum, Chenab, Ravi, Beas and Sutlej, that flow through the larger Punjab.
Punjab is the most developed, most populous, and most prosperous province of Pakistan. Lahore has traditionally been the capital of Punjab for a thousand years; it is Punjab's main cultural, historical, administrative and economic center. Historically, the Punjab region has been the gateway to the Indian subcontinent for people from Greece, Central Asia, Iran and Afghanistan and Vice-versa. Due to its strategic location, it has been part of various empires and civilizations throughout history, including the Indus Valley Civilization, Vedic civilization, Mauryans, Kushans, Scythians, Guptas, Greeks, Persians, Arabs, Turks, Mongols, Timurids, Mughals, Afghans, Sikhs and the British.
Total installed generation capacity in the country is 23,412 MW.
At present there are 27 private power projects with an installed capacity of about 6870 MW which are in operation. In addition Kot Addu Power Company (1650MW) and KESC power plants (1946 MW) are also operating in the private sector.
Power shortage had been one of the chronic problems hampering Pakistan's socio-economic growth since late 1980s; the problem had assumed such acute dimensions that power supply fell short of demand by almost 2000 MW during peak load hours. On a routine basis, this resulted in forced interruptions in the supply of electricity to consumers during peak hours resulting in load shedding. The unreliable power supply shattered the industrial progress. There was a gap between demand and supply due to the rapid increase in electricity demand (estimated to be growing at a rate of 7-8 % per annum at that time).
This situation called for immediate intervention by the GOP through adoption of policy measures aimed at massive resource mobilization for investment in the power/energy sector. The enormous quantum of required investment compared with the constrained funding potential of the national exchequer, was not conducive to allocation of scarce GOP funds for power/energy. Therefore, the GOP took a bold initiative in late 80s to induct private sector investment in the power sector.
Developing power generation capacity is very capital intensive. Such amounts cannot be carved out from the annual budget of federal government. As such in late eighties the Government of Pakistan made in principle decision to seek private sector investment in power generation. Attracting investment of that big magnitude require a team of highly qualified professionals who are trained in project, financial and contract management / analysis beside being courteous and imbued in corporate culture. Long and tedious experimentations by various governmental agencies on part time basis with HUBCO (the first private sector power generation project) and other prospective Independent power Producers (IPPs) in late 1980's convinced the government to create a dedicated organization having roots in government but having a corporate look that could provide a suitable interface to private sector entrepreneurs, their consultants, lawyers, and lenders feel easy to approach, Private Power and Infrastructure Board(PPIB) was created as a dedicated one window facilitator for attracting private investments in power sector. Similarly, One-Window facilities like Punjab Power Development Board (PPDB) and Sarhad Hydro Development Organization (SHDO) were also established at provincial levels.