Faiza Tehseen

Pakistan should leverage CPEC potential to attract Chinese and local investments in green energy initiatives for the development of a carbon economy.

“Partnership with China will not only foster green economic growth but also help meet the climatic goals by transforming the country’s energy landscape. Pakistan should leverage the CPEC potenital, as it’s been instrumental in driving green initiatives, including the renewable energy projects,” pointed out Dr Abid Qaiyum Suleri, Executive Director of Sustainable Development Policy Institute (SDPI). “The evolving partnership with China will help ensure Pakistan’s sustainable energy future,” he said.

He added that Pakistan’s transition toward a green or carbon economy is pressing, and China can help facilitate renewable energy development and the localisation of power supply chains. “But to reap the true benefits of such initiatives, a strong regulatory framework is direly needed to attract investment not only from the domestic investors but also from the global trade and business market.”

Speaking exclusively to WealthPK, Suleri insisted upon the need for community involvement and the integration of green technologies to ensure sustainable development. However, he underscored various challenges, including lack of awareness among policymakers and a coherent carbon policy. He emphasised the need for awareness to make people take active part in turning the country into a carbon economy.

Meanwhile, Hamid Sharif, former managing director of Asian Infrastructure Investment Bank, stressed the need for security, policy consistency, and trust in building a carbon economy. “Investors, both foreign and local, require properly framed and legitimate assurances as is the case in China,” he said. “Strategic reforms to leverage smart technologies should be urgently initiated, and China is going to be a crucial partner in this journey,” Sharif noted.

“While carbon trading remains in its early stages in the country, partnerships with China offer a real opportunity to build an effective carbon economy,” he said. Sharif said transition from fossil fuels to renewable energy is expected to cut around 3.5 million tonnes of annual carbon emissions, thus helping Pakistan achieve the goal of having 30% renewable energy in its power mix by 2030. He also asked for reducing the reliance on imported fuels and turning to renewables.

Credit: INP-WealthPk