ISLAMABAD: Experts at a workshop have underlined the urgent need for decarbonising Pakistan’s steel sector and boosting industrial efficiency in light of global climate goals and national economic challenges to chart a course toward a more sustainable industrial future for Pakistan.

The workshop on ‘Energy Efficiency in Energy Intensive Industries in Pakistan Focusing on the Steel Sector’ was organised by Sustainable Development Policy Institute (SDPI) in partnership with the Embassy of Denmark and the Danish Energy Agency under the Danish Energy Transition Initiative.

Danish Ambassador Jakob Linulf said: “Pakistan is a country rich in culture, beauty, and potential.”

Emphasising the urgency of climate action, he said climate change was not a distant threat, but it was reshaping Pakistan before our eyes.

“You have the natural resources — solar, wind, hydro — to go green. Now it is the time to use them,” he said.

Managing Director of National Energy Efficiency and Conservation Authority Dr Sardar Mohazzam advocated for stronger business-to-business partnerships between Denmark and Pakistan to transform local industries into energy-efficient models through collaborative technology transfer.

Earlier, Dr Khalid Waleed, senior energy economist at SDPI, said steel is often seen as the backbone of industrial growth, but without decarbonisation and efficiency, it risks becoming a liability.

Nadeem Nawaz, a Danish energy expert, shred his insights into Denmark’s own transition journey — moving from a centralised to a decentralised power system since the 1980s.

Fridolin Holm, senior technical expert from Viegand Maagøe, presented a detailed case study on energy use in Pakistan’s steel industry, identifying opportunities for efficiency gains, including heat recovery, improved process monitoring, and low-carbon technologies.

Energy Specialist of the World Bank Waqas Idrees emphasised that energy efficiency and decarbonisation were no longer optional. “They’re central to future trade competitiveness,” he said.

Saleha Qureshi from SDPI highlighted the lack of a structured decarbonisation plan in Pakistan’s industrial sector.

Abubakar Ismail of Amreeli Steels called for increased renewable energy adoption and policy incentives, highlighting that weak demand and economic instability discourage investment in newer efficient technologies.

Dr Nabil Amin from the Ministry of Commerce pointed out the informal nature of much of Pakistan’s steel sector, particularly in the Punjab, and emphasised the need for integrating SMEs into national compliance frameworks.

Sobia Becker, adviser to the Pakistan-Germany Climate and Energy Partnership, urged the establishment of a national industry emissions dashboard.

Prof Iftikhar Ahmed from National University of Science and Technology highlighted the role of Industry 4.0 technologies in improving energy management and reducing human error in steel operations.

Published in Dawn, April 29th, 2025