ISLAMABAD, Dec 7: Prime Minister Shaukat Aziz here on Tuesday directed the Alternate Energy Development Board (AEDB) to interact with the Khushali Bank to finance small projects to provide electricity to maximum number of rural and far-flung areas.

He issued these directives while presiding over a board meeting held to gauge its performance in terms of harnessing the alternative resources for power generation. The prime minister said there existed great potential for generation of electricity through non-conventional means.

Solar and wind energy, he said, was not only cost-effective, but also environment-friendly. He directed the AEDB chairman, Air Marshal (retired) Shahid Hamid, to accelerate his efforts to set up wind mills and solar energy units to meet ever-growing energy demands of the country.

The initiative will help improve the quality of life in rural areas, he said. The AEDB's chairman said the board had identified areas in Sindh, Balochistan and other parts of the country for establishment of wind mills and solar energy units.

A large number of local and foreign investors had offered to invest in alternative energy sector, as it possessed great potential to generate electricity.

Solar and wind energy could contribute about 10 per cent share to the overall power generation capacity of the country, the chairman said. Mr Hamid also highlighted the board's performance in tapping the alternative resources for power generation.