Chinese Investors Playing Key Role In Pakistan’s RE Sector

Chinese Investors Boost Pakistan’s Renewable Energy Growth

Tauseef H. Farooqi, Chairman of NEPRA, highlighted the crucial role of Chinese investors in helping Pakistan privatise electricity distribution and modernise transmission. Speaking at a webinar on accelerating Chinese investment in Pakistan’s renewable energy sector, he noted that renewable energy is a cost-effective, inexhaustible green solution, particularly important amid Pakistan’s economic challenges.

Pakistan offers significant renewable energy potential, with nearly 1.9 million MW of solar capacity, and plans to induct 10,000 MW of solar power under the Solar Fast Track programme starting in 2023. Chinese investment can greatly support Pakistan’s transition to a low-carbon energy mix, leveraging market-driven and consumer-driven growth.

The article also cited China’s global renewable energy leadership, with $758 billion invested from 2010–2019 and around 5 million jobs created worldwide, especially in wind and solar PV technologies.

The CPEC projects have contributed nearly 10,000 MW of power with investments exceeding $20 billion, demonstrating Pakistan’s potential as an attractive market. To encourage further Chinese investment, Pakistan is improving policies, financing access, and infrastructure, while adopting scientific, demand-driven capacity planning linked to power market evolution. NEPRA is promoting private sector participation through wholesale electricity markets, allowing entities to trade over one megawatt via bilateral contracts.

Farooqi concluded that modernising Pakistan’s transmission infrastructure will require deeper engagement from Chinese investors to ensure sustainable growth in the renewable energy sector.

Source: Daily Times