Government initiatives to promote Renewable Energy
The current power shortfall in Pakistan reaches upto 6000MW and is estimated to cost the economy more than two percent of GDP each year. With the energy demand growing at about eight percent per annum, it is necessary that other renewable sources are added to the energy mix to prevent further damage.
The Government through various incentives such as exemption from income tax, smoother capital flow, and 100% equity participation seeks to increase investments in the renewable energy realm. The Government has also approved the Net-Metering policies for encouraging smaller-scale renewable energy investments.
Inam ur Rahman, CEO Reon Energy Limited says, ““Our current energy mix is heavily reliant on oil, natural gas, and coal that makes us susceptible to both economic and environmental damages. With renewable energy especially solar and wind present in abundance, such governmental initiatives shall help make our businesses energy independent and secure from energy price volatility. Reon is dedicated to building self-reliant businesses across the country.”
Reon Energy Limited is a part of Dawood Hercules Corporation Limited, the largest private sector energy provider in Pakistan. Reon with its quality products and service solutions has provided solutions for telecom towers, healthcare facilities, and academic institutions across Pakistan.
The government must diversify its energy resources to lock its energy rates today, and secure its economic base. Renewable shall further help cut back on carbon emissions and with its increasing viability, can soon be the optimal solution for Pakistan’s off-grid and far-flung areas.