The government intends to promote the switch from gas to electricity, power efficient buildings
The government is likely to focus on a 10-year transition strategy to switch from gas to electricity in commercial, industrial and residential segments, as well as promote energy-efficient buildings, as part of a Rs45 billion optimized energy and sustainability project that will save more than Rs. 500 billion per year.
The Central Development Working Party officially acknowledged the project a few days ago for agreements with the World Bank for a $150 million loan, along with a $15 million technical funding for capacity-building of the National Energy Efficiency and Conservation Authority. Moreover, it was determined that a 10-year transitional phase was excessive and ought to be reduced.
According to the project’s backers, the Ministry of Science and Technology and the Energy Efficiency Authority, Pakistan’s existing energy-saving ability is between 10 and 12 million tons of oil equivalent — a unit of energy that refers to the quantity of energy generated by combusting one tons of crude oil.
The current national primary source of energy is approximately 95 million tons of oil equivalent, and it is expected to exceed 115 million in 2025 at a 5.8 percent annual growth rate, as per-capita energy consumption rises from 405 kilograms of oil equivalent to 469 kilograms during the period.
The initiative seeks to decrease fossil fuel imports, resulting in foreign exchange savings and an improvement in the country’s fiscal position, decrease household spending, particularly on their cooling and heating needs, and nurture a green and efficient economy, all of which will contribute to Pakistan’s goal of reaching upper-middle-income status by 2047, once the country has turned 100.
The initiative also aims to contribute to nationwide contribution goals by limiting 20% of estimated total emissions of greenhouse gasses by 2030. The power sector ought to be the central objective for emission reduction because it accounts for 46% of total emissions.
Energy efficiency measures and optimization of all big federally owned constructions, demonstration of deep energy efficiency refurbishments of several showcase’ buildings, and advancement of highly standardized components and requirements to endorse the modification of buildings in the commercial, public, and residential sectors will be part of the project.
The venture would aid in the creation of constructing design templates that could be freely distributed to housing associations, relevant government departments, and businesses in order for them to clarify and build new energy-efficient buildings in accordance with new “green building codes.”
The initiative includes introducing a trade-in strategy for households and businesses to knowingly and willingly replace inefficient gas geysers, boilers and space heaters with electric operated alternatives based on current analysis and ongoing studies.
