Bikash Raj Pandey, Country Representative, Pakistan Asia Clean Energy Group visited investment division on Wednesday and made a presentation to the Investment Division on prospects of Clean Development Mechanism (CDM) projects and other carbon financing opportunities that local and foreign investors should be aware of and take advantage of adapting to environment friendly technologies.
Clean Development Mechanism (CDM) can provide increased IRR for private and public sector investments, technology transfer of clean energy and clean manufacturing technologies from international investor (additionality) and can support forestry and rural development projects. CDM aims at lowering the overall cost of reducing GHG emissions, while also supporting sustainable development initiatives within developing countries.
As a pre-requisite to qualify for participation in CDM, Pakistan has already acceded to "The Kyoto Protocol" in 2005, according to which the developed countries must reduce carbon emissions by 5.2 percent from 1990 levels by 2008-2012.
Possible areas for CDM projects in Pakistan include Energy (renewable energy/alternate energy), Forestry (biodiversity protection, soil conservation, watershed maintenance, sustainable forest management), Agricultural and livestock practices, Waste Management (landfills, solid waste management, recycling), Transportation (alternative fuel vehicles, mass transit systems, cleaner engines, CNG), Industrial processes.
Secretary BOI agreed on providing awareness among investors about CDM potential of their projects (in collaboration with CDM Cell of Ministry of Environment) and on encouraging investors to consider CDM to introduce clean technology and improve their IRR.-PR