Federal Minister for Power Division Sardar Awais Ahmed Khan Leghari has said that the Power Division (PD) is planning to establish renewable energy institute to conduct research and study the existing potential and propose policy matters to the government in the field of alternative energy.
The minister expressed these views at a meeting with the delegation of World Bank and IFC co-headed by the World Bank Vice President for the South Asia, Annettee Dixon and IFC Vice President for the region Snezana Stoijkvic, on Friday.
The minister while explaining the potential of renewable energy sources that Pakistan has, stated that in order to tap the resources and pass on its due benefits to the consumers, the government has taken decision to call competitive bidding for the renewable energy power generation in future, said a press release.
The minister also invited the World Bank and IFC to extend assistance in the establishment of Renewable Energy Institute which will study, conduct research and propose policies to the Government for the renewable energy sources in Pakistan. He said that Power Division is also working on indigenous resources mobilization for the establishment and sustainability of the Renewable Energy Institute.
The minister also underscored the need of investment in the Power Distribution Sector to modernize the existing infrastructure. He also invited the World Bank and IFC to consider investing in laying the ABC cables in the Distribution network which will greatly help in reducing the line losses and controlling theft. He said that the payback time for ABC cables in just 9 months.
The minister informed the delegation that amendments in the NEPRA Act is in Upper House of the Parliament and with its finalization the power sector will be more open for the investor kicking the electricity as commodity trade at distribution level. He said that the Power Division is already working on concept of "wheeling" with SECP to make the electricity as a tradable commodity.
The IFC Vice President said that IFC is keen in tapping the renewable resources of Wing and Solar Power Generation in Balochistan and in this regard their teams will coordinate with the Power Division and all other stake holders. The IFC will also keen in assisting the power sector in tapping the renewable energy sources in KPK. The IFC also expressed its interest in investment in the improvement of Distribution network and it was also agreed that both sides will soon hold a roundtable to exchange views on possibility of the investment.
The World Bank appreciated the reforms already undertaken by the Power Sector. The Vice President also expressed the interest of the World Bank in assisting the Power Division in formulation of new energy policy and national electricity plan. The World Bank also reiterated to continue supporting the power sector in the modernization of transmission lines.-PR