Climate Change

Coal-Fired Generation Rises to Record in Pakistan

Pakistan coal-fired generation

Chinese funding increased the power generation through coal in Pakistan when other countries are avoiding coal-fired power due to its negative environmental impact.

To limit pollution, South Asian countries are facing the dilemma of choosing between affordable energy sources. Other countries have switched towards cleaner energy alternatives and left the coal behind while Asia is demanding it.

Read more: BRI boosts international cooperation in renewable energy

According to the report published by Bloomberg, in the fiscal year through June, coal-fired power generation of Pakistan has jumped 57 percent to a record (data from the government’s National Electric Power Regulatory Authority). Coal-based energy has made up about a 5th of the total output of Pakistan.

China has invested in building more power plants and so coal will expand further in Pakistan and mines. Moreover, Pakistan is a leading market for the China belt and road initiative. It contains more than 70 billion dollars of projects with liquefied natural gas and coal-fired power plants.

James Dorsey, a senior fellow at the S. Rajaratnam School of International Studies in Singapore said, “China has been cutting back on coal at home but it has no compunction about using coal in things that it funds outside of China. Chinese can be willing but they need a partner to go along with them. In this case, it’s the Pakistani government.”

President of China advised a move towards clean energy overseas and China signed an agreement to build two hydropower generation projects in Pakistan to end dependency on coal-fired generation. According to data from Karachi-based brokerage Arif Habib, the shift of coal has dropped 11 percent during the FY19.

Tahir Abbas, head of research at Arif Habib said, “Pakistan has increased coal-based generation to make it its new base to replace its previous expensive fuel oil-powered power plants. This has also helped bring down the power prices, energy import bill, and increase the share of an indigenous energy source.”

Image source

Most Popular

To Top