MANILA, Dec 7: The Asian Development Bank is lending Pakistan $510 million to develop renewable energy sources. Pakistan was highly dependent on oil imports and expected to tap coal, oil and gas to meet future needs with renewable energy accounting for only 180 megawatts of the country power output, the bank said in a statement issued from its headquarters here on Thursday.
However, renewable sources held great potential for the country, it said, citing small and medium hydropower plants as well as wind, solar and biomass power.
It is the first loan of its kind to Pakistan and the first under the ADB's clean energy and efficiency initiative aimed at expanding more efficient energy operations in member countries.
“Investment in such renewable energy options would not only be beneficial to the country's energy security, but would boost social equity, lead to a cleaner environment, and make good economic sense,” the ADB added.
The first project to be financed by the loan will be a set of small hydropower plants in the NWFP and Punjab.—AFP
