Call for exploiting carbon market potential

Experts say efficient policy framework a must for nature conservation

ISLAMABAD:

Experts at a session on Friday underscored the need to exploit the potential of carbon market in Pakistan to strengthen the ongoing efforts for environmental protection.

The session titled ‘Effective Implementation of Carbon Markets in Pakistan’ was held at the 26th Sustainable Development Conference organised by the Sustainable Policy Development Institute (SDPI).

National Energy Conservation and Efficiency Authority Managing Director Dr Sardar Mohazzam said a framework for the carbon market is under consideration. He stressed the need to focus on mitigating sides of climate change as compared to adoption sides. He added that the carbon markets of different countries have different mechanisms and implementation requirements.

Owing to gap in demand and supply, power sector in Pakistan is facing challenges, he said, adding that in winter season demand of electricity shrank to 8000MWs, whereas it jumped to 27,000MWs in summer seasons. He said to bridge the gap, the energy deficiency was covered by different means and coal-fired power plants are among them.

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He said according to a study, over 800MWs of electricity could be conserved by shifting 140 million existing fans to energy-saving fans. Khurram Lalani from Resources Future reiterated the need for a robust policy framework for the effective implementation of the carbon market.

Regulations and digital infrastructure development are also required for the effective implementation of carbon market, he said, adding that public private partnership would also help harness the potential of carbon market. He said long-term and continued policies take time to materialise the provision of dividends.

National Disaster Risk Management Fund CEO Bilal Anwar said a lot of potential exists for the carbon market in Pakistan. Stressing the need for developing the required infrastructure to get its benefits like other countries, he called for enhancing the industrial base as the current industrial base was limited in terms of carbon intensity and needed to protect their competitiveness.

Published in The Express Tribune, December 2^nd, 2023.