Guidebook Launched For Stakeholders In Development Of RE Projects (Urdu)
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KARACHI: :contentReference[oaicite:0]{index=0}, an energy and environment think tank, launched an On-Grid Renewables Project Development Guidebook in the presence of RE developers and held an intensive consultative session around the Competitive Trading Bilateral Contract Market (CTBCM) to bring their major concerns and suggestions to light. Energy experts from RF also introduced their national electricity generation model developed on PLEXOS and shared their findings on the true least-cost potential of renewable energy in :contentReference[oaicite:1]{index=1} along with other associated costs.
The event was attended by more than 50 private developers, banking sector representatives and investors. The on-grid developers’ guidebook was introduced by :contentReference[oaicite:2]{index=2} from RF. He informed the audience of its salient features and the organisation’s vision to strengthen renewable energy markets. The guidebook is intended to act as a single go-to knowledge repository for all renewable energy stakeholders in Pakistan for RE project development in the country from conception to construction.
Representatives from RF also informed the audience that they have been engaged in conducting an independent study on the true least-cost potential of renewables in the national electricity grid. :contentReference[oaicite:3]{index=3} shared preliminary findings of the study while identifying issues in the national power planning document (IGCEP).
He highlighted that current models by the :contentReference[oaicite:4]{index=4} do not incorporate complete costs of generation expansion, whereby actual investment requirements exceed projections by $21 billion. Only 56 percent of committed projects qualify for development under least-cost criteria.
According to the study, up to 34GW of variable renewable energy can be injected into the national grid on a least-cost basis, compared to NTDC projections of less than 21GW. However, the study does not account for transmission and prediction limitations, which remain a major determinant of RE acceleration.
In the final session on CTBCM, :contentReference[oaicite:5]{index=5}, Lead Manager of :contentReference[oaicite:6]{index=6}, presented a detailed explanation of how the mechanism works.
This was followed by identification of key challenges by :contentReference[oaicite:7]{index=7} and industry leaders who called for more clarity on opening up energy markets and competitive trading. :contentReference[oaicite:8]{index=8} from :contentReference[oaicite:9]{index=9} emphasised safeguarding RE developers against risks of excessive marginal costs and system charges through capping mechanisms.
:contentReference[oaicite:10]{index=10} of :contentReference[oaicite:11]{index=11} said clearer understanding of marginal cost and future values, as well as wheeling costs, is critical to financial closure and lender confidence.
:contentReference[oaicite:12]{index=12}, Chief Financial Officer of :contentReference[oaicite:13]{index=13}, highlighted poor past experience of developers regarding wheeling and expressed concerns about participation in CTBCM. He also raised issues regarding firm capacity obligations, calculation methodologies and lack of clarity on consumer migration policy.
:contentReference[oaicite:14]{index=14} from :contentReference[oaicite:15]{index=15} argued that CTBCM would significantly change how banks evaluate the energy sector. As concessionary RE financing from the :contentReference[oaicite:16]{index=16} remains unavailable, financing projects under CTBCM will remain challenging.
:contentReference[oaicite:17]{index=17} from :contentReference[oaicite:18]{index=18} noted that although current market conditions are challenging, Engro is willing to enter renewable energy markets. The event concluded positively with hopes for a green and clean energy future.
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