Islamabad (Staff Reporter)
Federal Minister for Power Sardar Awais Ahmed Khan Leghari held a meeting with a delegation of the Asian Development Bank (ADB) in Islamabad on Tuesday. The delegation was led by Director General of the Central and West Asia Department, Leah Gutierrez. The federal minister warmly welcomed the ADB delegation.
Leah Gutierrez informed the minister that this was her first visit to Pakistan in her current role and appreciated the constructive exchange of views with the Power Division. During the meeting, the federal minister briefed the delegation on key challenges facing Pakistan’s power sector, including funding constraints, issues related to the rupee’s exchange rate, and high initial project costs.
The minister shared that the Government of Pakistan is engaging with local investors through the Pakistan Business Council to promote private sector investment in the power transmission sector and to build market confidence. Highlighting ongoing reforms, he briefed the delegation on progress in transmission projects under the Integrated Generation Capacity Expansion Plan (IGCEP). He noted that surplus and unneeded power generation capacity has been removed from the system, reiterating that the government will not procure additional power and is steadily moving toward a competitive electricity market.
Sardar Awais Leghari stated that Pakistan has transitioned nearly 20 gigawatts toward clean energy. However, despite this significant progress, neither dedicated financing for clean energy nor adequate resources for grid stability were provided. He emphasized that while the shift toward renewable energy continued despite limited resources, timely and appropriate financial support is essential to ensure grid stability.
The federal minister also briefed the delegation on the Energy Surplus Package introduced to increase electricity demand and enhance private sector usage. He stressed the need for ADB’s support in debt repayment and restoring investor confidence, adding that a feasibility report for private investors would be presented soon. He further said that smart meter installation would be carried out under a public-private partnership (PPP) model with private sector participation, focusing on the integration of modern technology and improved system efficiency.
Expressing interest in cooperation on smart metering projects, Leah Gutierrez highlighted ADB’s expertise in PPP frameworks and technology integration. She also showed interest in supporting the Integrated Energy Plan and acting as a transaction advisor under the PPP framework. She noted that ADB’s sovereign and non-sovereign operations work under a single platform, enabling the provision of comprehensive solutions.
The federal minister thanked the Asian Development Bank for its continued cooperation and partnership during the power sector reform process and appreciated its constructive role in supporting Pakistan’s energy sector.