Industry Calls For Improving Investment Conditions For Chinese RE Investors

News Desk

Islamabad: Industry experts call for improving investment conditions to attract interest from Chinese investors in renewable energy. They opine that Pakistan has immense potential for renewable energy generation and Chinese investors could play a significant role in its development.

Speaking at a webinar organised by ‘Renewables First’, a think tank for energy and the environment, on Monday, with the theme ‘Accelerating Chinese Renewable Energy Investment in Pakistan,’ the discussion highlighted discourse on redirecting Chinese investment in Pakistan’s energy sector from coal to clean energy.

Alternative Energy Development Board CEO Shah Jahan Mirza highlighted Pakistan’s ambitious goals of Renewable Energy (RE) additions –14000 MW of wind and solar to be added to the grid in the next 10 years – and encouraged Chinese investors to invest in the RE market of the country.

Gold wind Science and Technology Co-Director Xiaohui Ma contended that while the regulatory framework and incentive structure were favourable for RE investment, the wind power industry had been facing a number of challenges in Pakistan, ranging from curtailment from the off-taker to an unannounced moratorium on the import of renewable energy equipment, which hampered the operations of wind power projects.

Ma urged the government to refocus on both wind and solar PV as complementary technologies and develop ambitious plans and frameworks for both technologies in tandem to maximise their benefits for Pakistan.

Kohala Hydro Power Project Senior Advisor N. A. Zuberi stressed the need for a streamlined project development process and the removal of barriers through close collaboration, and effective engagement with stakeholders in order to attract more foreign investment in the RE sector.

Zuberi also suggested private sector investment in transmission and distribution as a solution to the bottleneck of greater RE integration.

“There remains a greater need for inclusivity and gender diversity in the RE market,” stated Ladies Fund Chairperson Tara Dawood.

Tara encouraged women’s participation within the RE sector and urged policymakers to provide consistency in policy and regulatory outlooks as well as ease the speed of entry for RE projects.

NEPRA Chairman Tauseef Farooqi said, “We are very upbeat about the potential of Chinese investment in the renewable energy sector. Our Chinese friends have a lot to benefit from the potential of RE in Pakistan.”

Chairman Farooqi reiterated that Chinese investors had a pivotal role to play and a range of potential benefits in supporting Pakistan in its journey to privatise distribution and modernise transmission, along with adding the cheapest solar and wind energy to Pakistan’s electricity mix.

Renewables First is a Pakistan-based think tank for energy and the environment. It is striving for a just and inclusive energy transition in Pakistan by forging collaborations between the market and the government through multi-stakeholder engagements.

Renewables First has recently published the ‘On-Grid Renewable Energy Guidebook’, which provides comprehensive information on regulatory frameworks, project development processes, and investment opportunities in Pakistan’s renewable energy landscape.