Pakistan Government Working To Issue Energy Bonds For Tech Up-gradation: NEECA Chief

In order to encourage technological advancement in the industries, the government is considering issuing energy-saving certifications and energy conservation bonds, according to Dr. Sardar Mohazzam, the managing director of the NEECA.

According to Dr. Mohazzam, the cement industry has enormous potential for energy efficiency and decarbonization, and “we must examine and draw inspiration from governmental measures being implemented in India and China.” He reaffirmed that the government’s first goal was ensuring the security of the energy supply, but he noted that a key obstacle to the adoption of renewable energy and the decarbonization of hard-to-abate sectors was cost.

The government had not yet announced any tax advantages for the cement sector, according to PET Executive Director Talha Khan, so the carrot-and-stick strategy would not be effective.

According to Syed Fawad Hussain Shah, senior assistant manager at the Center for Industrial & Building Energy Audits (CIBEA), the energy utilized by Pakistan’s cement industry results in 45% more emissions than the average for the world.

He explained that the industry’s high carbon intensity can be attributed to its 85% coal use, whereas biomass and waste-to-energy only account for 0.02% of total energy production.

He emphasized the necessity of raising public knowledge about green cement and upgrading Pakistan’s Building Code in order to persuade the industry to switch from grey to green cement, which is more environmentally friendly.

Farrukh Ahmad, the head of environment at Bestway Cement, claimed that the cement industry as a whole was ignoring the need for decarbonization and that it would take some time before it fully understood the significance of a large decrease in CO2 emissions.

He added that it is really idealistic thinking for the industrial sector to be under pressure to reduce emissions during these difficult financial times in the absence of tax breaks and incentives. He demanded that the regulatory framework be made simpler and that incentives be provided to encourage sector growth.

Deepak Krishnan, associate director at the World Resource Institute (WRI), pleaded with governments and international organisations to make it easier for businesses to get financing and reduce the cost of technology and equipment in order to reduce emissions.

He emphasised the importance of creating workable and adoptable solutions that must be incorporated into planning from the beginning.

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