75pc energy to be produced through indigenous resources: minister

ISLAMABAD: Minister for Power and Petroleum Omar Ayub Khan Wednesday unveiled the salient features of Alternative Energy Policy-2019, under which 75 percent of the country’s total electricity would be produced through indigenous resources by 2030.

“We have the target to produce 20 percent of the country’s total electricity through renewable means, including solar, wind and geothermal, by 2025 that will be taken to 30 percent by 2030. While, 75 percent of the total energy-mix needs to be fulfilled through indigenous resources by 2030,” he said.

He was addressing a news conference flanked by Minister for Science and Technology Chaudhry Fawad Hussain, Special Assistant to Prime Minister (SAPM) on Petroleum Nadeem Babar, SAPM on Power Shahzad Qasim and Secretary Power Omer Rasul.

Omar Ayub said the Council of Common Interests (CCI) had recently approved the new policy with consensus to make the country self-sufficient in energy sector. Under the policy, he said competitive bidding would conduct to bring down the electricity rates. “The solar energy projects that have been initiated during our tenure have brought down the rate even from four cents per unit,” he added.

The minister said availability of inexpensive electricity would benefit industry and domestic consumers, besides creating more job opportunities. He said Pakistan was also focusing on local manufacturing of the equipment like solar panels and wind turbines used in renewable energy production.

Elaborating the new Alternative Energy Policy, Special Assistant to the Prime Minister (SAPM) on Petroleum Nadeem Babar said it was for the first time that each and everything would be acquired through open and international bidding to ensure transparency.

Another uniqueness of this new policy, he said, was that location for installation of new power plant would be determined in consultation with all four provinces including Azad Jammu and Kashmir and Gilgit-Baltistan. He said a steering committee had been formed by the Alternative Energy Development Board (AEDB), where provinces would themselves decide about distribution of renewable energy.

Nadeem Babar said another salient feature of the new policy was that Pakistan would bring in the technology, for which incentives had been given to produce renewable energy equipment. The SAPM said three major Chinese companies and one European firm had already contacted Pakistan and expressed desire to start production of solar panels and wind turbines here.

Answering a question, the SAPM said there was a $3.5 billion facility on account of oil supply on deferred payment from Saudi Arabia. “We utilised the facility as per our requirement. We did not utilise the complete facility of $3.5 billion,” he added.

Chaudhry Fawad said Pakistan, Saudi Arabia and United Arab Emirates were enjoying close and cordial relations.