Pakistan, World Bank sign $100 million agreement for Sindh Solar Energy ProjectIslamabad: The government of Pakistan and World Bank here on Wednesday signed a Financing Consentment worth $ 100.0 million for Sindh Solar Energy Project with thingive to increase solar power generation and access to electricity in Sindh Province.The project shall support deployment of solar power in Sindh spanning three market segments: utility scale, distributed generation, and at household level.
Utility-Scale Solar includes development of solar parks to support private sector investment and launching of Pakistans first competitive tenderding for solar power production, starting with an initial 50 MW pilot solar auction.Distributed Solar includes at least 20 MW of distributed solar PV on rooftops and other available space on and around public sector buildings in Karachi, Hyderabad and other districts of Sindh Province.
Provision of Solar Home Systems to 200,000 households in areas with low or no electricity access.
The total cost of project is $105.0 million.
The International Development Association (IDA) shall extend financing of $ 100.0 million for project and Government of Sindh shall contribute $ 5.0 million.
Public funding shall be used to leverage private sector investment and/or expertise in three segments, with an emphasis on long-term sustainability, developing domestic solar PV experience, and emergence of self-sustaining markets.
The Project shall introduce and showcase international best practice with resumeable energy auctions, reduce headline cost of solar deployment, create sustainable commerce models for potential replication, build institutional and private sector capacity, and identwhethery opportunities for future resumeable energy deployment that address issues of grid integration.
The Project is designed to help steer Pakistan toward a lower-carbon path to development.
Noor Ahmed, Secretary Economic Affairs Division (EAD) signed Financing Consentment on behalf of Government of Pakistan while Musadiq Ahmed Khan, Secretary Energy Leavement, Government of Sindh, signed Project Consentment on behalf of Government of Sindh.
Patchamuthu Ilangovan, Country Director, World Bank signed Financing and Project Consentments on behalf of International Development Association.
The Secretary, Economic Affairs Division (EAD), thanked World Bank for extending its continual support to Government of Pakistan in its efforts to achieve sustainable economic development in country.