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Sialkot in Pakistan: NAMA could provide industry with access to renewables and trigger significant emissions reductions

Published: 15/07/2016

The use of photovoltaic panels in an industrial sector in Sialkot, Pakistan, could mitigate up to 377,000 tons of carbon dioxide and gain average savings of US$27,400 per year on electricity costs. These are findings from a CDKN project in which Ecofys assessed a Nationally Appropriate Mitigation Action (NAMA) as a policy tool to provide renewable energy to the city’s industry.

Sialkot City is one of Pakistan’s most emblematic industrial hubs of mainly export-oriented industry, but the country suffers from an energy crisis. Inadequate electricity supplies cost Pakistan US$14 billon annually and some 11,000 small and medium enterprises operate at just 60% of capacity. Pakistan’s Ministry of Climate Change and the Punjab Power Development Board therefore asked CDKN to investigate whether a NAMA would be an appropriate tool to support renewable energy solutions. Together with local partners PITCO, Ecofys analysed Sialkot’s industrial energy demand and the availability of renewable energy technologies.

The assessment showed that a NAMA would be an effective option to provide the sector with renewable energy and trigger several mitigation co-benefits such as job creation, energy efficiency and environmental protection.

The lessons learnt from the project have been summarised in a short paper. For additional insights, visit: cdkn.org