Experts underscore need for improving investment conditions for Chinese renewable energy investors

KARACHI: Industry experts called for improving investment conditions to attract interest from Chinese renewable energy investors.

They were speaking at a webinar organised by Renewables First, a think tank for energy and environment, on Monday. With a 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.

Speaking on the occasion, CEO of Alternative Energy Development Board Shah Jahan Mirza emphasised that Pakistan had immense potential for renewable energy generation, and Chinese investors could play a significant role in its development.

He also highlighted Pakistan’s ambitious goals of RE additions (14000 MW of wind and solar to be added in the next 10 years to the grid) and encouraged Chinese investors to invest in the RE market of the country.

Xiaohui Ma of Golwind which is the leading wind turbines supplier globally, contended that while the regulatory framework and incentive structure was favorable for RE investment, wind power industry had been facing a number of challenges in Pakistan ranging from curtailment from the off taker to unannounced moratorium on the import of renewable energy equipment hampering 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 the technologies in tandem, to maximize their benefits for Pakistan.

In order to attract more foreign investment in the RE sector, N A Zuberi stressed the need for a streamlined project development process and removal of barriers through close collaboration and effective engagement with stakeholders. He also urged private sector investment in transmission and distribution as a solution to a bottleneck of greater RE integration.

Tara Dawood, Chairperson of Ladies Fund also encouraged women’s participation within the RE sector and urged the developers to ensure that their voices were heard within decision-making processes.

In his concluding remarks, Chairman NEPRS, Tauseef underscored the enormous potential for Pakistan to scale up its RE share within the power sector.

“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,” he remarked.

He also 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, while also adding the cheapest solar and wind to the electricity mix of Pakistan.

The webinar was attended by both local and Chinese audiences, brought together industry experts, stakeholders and government representatives to discuss the opportunities within the renewable energy market in Pakistan. During the webinar, the speakers shared their experiences and insights on the topic, providing policymakers with a better understanding of the regulatory and policy environment needed to attract greater Chinese investment in the renewable energy sector.

Copyright Business Recorder, 2023