How to Keep Your Business Running During Power Outages
Power outages are a common and frustrating problem for many businesses in Pakistan. According to a report by the World Bank, Pakistan faces an average of 12 hours of power cuts per day, which can cost the economy up to 7% of its GDP.
Power outages can disrupt the operations of businesses, especially small and medium enterprises (SMEs), which rely on electricity for production, communication, and service delivery. In this blog post, we will explore the impact of power outages on SMEs, and how diesel generators can help them overcome this challenge.
The Impact of Power Outages on SMEs
Power outages can have a negative impact on the performance, profitability, and competitiveness of SMEs. Some of the effects of power outages on SMEs are:
- Reduced productivity: Power outages can cause delays, interruptions, and wastage in the production process, leading to lower output and quality. For example, a study by Amushitan found that power outages reduced the productivity of manufacturing SMEs in South West Nigeria by 17.5%.
- Increased costs: Power outages can increase the operational costs of SMEs, as they have to spend more on alternative sources of power, such as batteries, inverters, or generators. They may also incur losses due to damaged equipment, spoiled raw materials, or missed orders. A study by Schoeman and Saunders found that SMEs in Johannesburg spent an average of USD 2,126.93 per year on back-up power, and lost an average of USD 1,500 per power outage.
- Reduced customer satisfaction: Power outages can affect the service delivery and customer satisfaction of SMEs, as they may not be able to meet the expectations and demands of their clients. For example, a power outage can prevent a restaurant from serving food, a salon from providing beauty services, or a shop from accepting electronic payments. This can result in lower sales, customer complaints, and loss of reputation.
- Reduced competitiveness: Power outages can reduce the competitiveness of SMEs, as they may not be able to match the performance and quality of their rivals who have access to reliable power. They may also lose their market share, as customers may switch to other suppliers who can offer better and consistent service.
The Benefits of Diesel Generators for SMEs
One of the ways that SMEs can cope with the impact of power outages is to invest in diesel generators. Diesel generators are devices that convert the chemical energy of diesel fuel into electrical energy, which can be used to power various appliances and equipment. Diesel generators have many advantages over other sources of back-up power, such as:
- Fuel efficiency: Diesel generators are more fuel efficient than gas generators, as they burn less fuel for the same amount of power output. Diesel generators can burn half as much fuel as natural gas generators, while providing the same amount of work output. This can help SMEs save on fuel costs and reduce their carbon footprint.
- Safety: Diesel generators are safer than gas generators, as diesel fuel is less flammable and explosive than gas. Diesel fuel has a higher flash point than gas, which means it requires a higher temperature to ignite. This reduces the risk of fire accidents and injuries, especially in hot and humid climates.
- Low maintenance: Diesel generators are low maintenance, as they do not have spark plugs or carburetors, which gas generators do have. This means less moving parts that need replacing or fixing, and less risk of overheating. The only ongoing service requirement for diesel generators is oil changes, which are simple and quick.
- Durability: Diesel generators are durable, as they are built to withstand heavy use and harsh conditions. They can handle high compression and high temperatures, and can last for years with proper care. They are also versatile, as they can be used for various applications and in various locations, whether on-site or off-grid.
- Affordability: Diesel generators are affordable, as they have lower acquisition and operational costs than gas generators. Diesel fuel is cheaper and more readily available than gas, and diesel generators have lower maintenance and repair costs. Diesel generators also have a longer lifespan and higher resale value than gas generators.
Power outages are a serious problem for SMEs in Pakistan, as they can affect their productivity, profitability, and competitiveness. However, SMEs can overcome this challenge by investing in diesel generators, which can provide them with reliable and cost-effective power supply. Diesel generators have many benefits, such as fuel efficiency, safety, low maintenance, durability, and affordability. By using diesel generators, SMEs can keep their business running smoothly and successfully, even during power outages.