Pakistan seeks Sweden’s support for EV transition

January 24, 2024 (MLN): Pakistan has sought technical and financial assistance from the Sweden Green Fund to transition the country’s small vehicles to electric technology, aiming to support the recent record reduction in tariffs for electric vehicle (EV) charging stations.

Federal Minister of Power Awais Ahmed Khan Leghari presented the proposal during a meeting with Swedish Ambassador Alexandra Berg Von Linde.

Elaborating on the proposal to convert existing fossil fuel vehicles, particularly motorcycles, Leghari highlighted that there are currently over 30 million motorcycles in Pakistan.

He also noted that people in this income group have a strong track record of repaying loans, according to the press release.

He suggested that Sweden’s and the EU’s green funds could consider offering interest-free loans through Pakistani banks, which have a robust system in place.

Emphasizing the importance of renewable energy, the energy minister highlighted that last year, 55% of Pakistan's total electricity generation came from renewable sources.

“Pakistan is fully committed to promoting renewable energy sources and in this regard the Department of Energy is carefully considering policies to provide affordable and sustainable electricity to consumers,” he stressed.

Leghari pointed out that Pakistan is reviewing the Indicative Generation Capacity Expansion Plan (IGCEP) to ensure the integration of energy into the national grid based on lowest cost to optimize the country’s energy resources for maximum economic impact.

The ambassador said that last year marked seventy-five years of diplomatic relations between Pakistan and Sweden.

This reflects the strength and depth of our bilateral ties.

He noted that Swedish companies operating in Pakistan are eager to secure a supply of green energy, with Sweden ready to share its expertise and provide technological support.

The ambassador emphasized that Pakistan’s textile sector, a key exporter to the European Union, is focusing on enhancing its global competitiveness through renewable and sustainable energy sources.

It highlighted Sweden’s leadership in renewable energy, producing 70% of its energy from renewable sources, showing how economic growth and green energy could coexist seamlessly.

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