Power Cement, Burj Clean ink Pakistan’s first green captive power deal

September 29, 2025 (MLN): Burj Clean Energy Modaraba (PSX: GEMBCEM) has signed Rs1.5 billion Project Finance Facility of Pakistan’s first Green Captive Power Transaction with Power Cement Limited operating under a lease arrangement.

The brief transaction details are as follows: Power Cement Limited (PCL), as Off-taker, and Burj Clean Energy Modaraba (BCEM), as developer, are proud to announce the signing of Pakistan’s first-ever green captive power transaction.

This represents a landmark step in the country’s transition to sustainable energy.

The project will establish a 7.5 MW wind captive power plant, with a total project financing of Rs1.5bn, by a consortium led by The Bank of Punjab (BOP), with participation from the National Bank of Pakistan and Pak Kuwait Investment Company, providing a financing facility to BCEM.

The Bank of Punjab played a central role in the transaction, acting as Lead Bank, Adviser, Arranger, Intercreditor Agent, and spearheading the structuring of the financing framework.

National Bank of Pakistan also played a key role in arranging financing in a joint role of Mandated Lead Advisor and Arranger along with The Bank of Punjab.

National Bank of Pakistan will also be acting as the Security Agent for the transaction. Pak Kuwait Investment Company participated as a Musharaka Participant, building on their earlier support to BCEM’s solar project, and also served as an equity provider to the BCEM fund.

This collaboration reflects strong institutional support for Pakistan’s industrial decarbonization journey.

This pioneering initiative underscores Power Cement’s vision to decarbonize its operations and improve energy efficiency while also reflecting BCEM’s role as Pakistan’s first clean energy investment fund/modaraba, uniquely positioned to deliver scalable, Shariah-compliant solutions for industrial clean energy needs.

Both organizations bring complementary strengths – Power Cement’s commitment to sustainable industrial growth and BCEM’s expertise in renewable project development, financial structuring, and technology integration, together making this project a first of its kind in Pakistan.

Orient Energy Systems has been appointed to deliver this project with a GOLDWIND wind turbine.

This initiative will enable Power Cement to generate cleaner, reliable electricity on-site, decreasing reliance on fossil fuels and contributing to Pakistan’s broader clean energy goals.

At the same time, BCEM will set a precedent for private-sector clean energy partnerships in Pakistan by demonstrating how innovative financing and project development can accelerate industrial decarbonization.

Executives from all parties participated in the signing ceremony held today, underscoring their shared vision for a greener and more resilient energy future in Pakistan.

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