Friday, April 17, 2009

Article Reviews by Raheel Awan

“DHA Cogen Limited, Karachi acquired by Ashmore Energy International. Posted on Twitter on July 24, 2008”

This article covers the issue of energy in Pakistan and the investments required to fulfill energy needs, in a nutshell. Basically, DHA Cogen LTD is a public company, formed by DHA Karachi and Singapore Investments on a ratio of two to four. This company was formed to provide power generation and Water Desalination Complex to fulfill Electrical and Potable water needs. Lastly, AEI (Ashmore Energy International) of the UK had acquired it, which raises the question of whether:

a) Would AEI be able to better run and operate DHA Cogen?
b) Why was AEI tempted to make the bold move of overtaking DHA Cogen?
a. Will it be worth it for Pakistan?
c) Is there something from this that we did not understand?

Since a multinational company that has helped many other developing countries’ energy sector had acquired a Pakistani energy company in such horrifying circumstances. New and Innovative ideas will provide not only this company, but many more in Pakistan with new opportunities, in the future.
Second, AEI was tempted to make such a bold move because it would provide more jobs in Pakistan, in this way, it is providing a social service, moreover, AEI had previously expanded in other countries with the same problem as Pakistan. These other countries include: Brazil, Bolivia, Peru, Colombia, and Chile from leading contenders like Shell…
Lastly, AEI saw some potential for profit/potential in DHA Cogen, otherwise, why take the risk? AEI is providing more jobs, higher pay, and better insurance. The only problem with this is that it goes in greater favour of the UK, but the money can and most probably will come back into Pakistan.

No comments:

Post a Comment