ADB extends $2 million grant for Pakistan

Islamabad: The Asian Development Bank (ADB) is helping Pakistan develop an energy model that would enable the South Asian nation pursue an energy sector development plan for meeting the demand of an expanding economy. ADB is extending a $2 million grant for Pakistan's Integrated Energy Model project, estimated to cost $2.5 million. The government of Pakistan will cover the balance.

'The outcome will be a functioning energy planning unit producing regular integrated analysis of strategic energy options,' said Jim Liston, principal energy specialist of ADB's Central and West Asia Department in a statement.

A trained energy planning team will manage the unit and propose strategies for meeting energy requirements at the least cost and in a sustainable manner for consideration by national policy makers. The factors that will be addressed by the unit cover finance, economics, energy supply, national resources, energy use, environmental impacts, technologies, energy efficiencies, and socio-political impacts.

Pakistan's Medium-Term Development Framework 2005-2010 sets out to achieve an 8 percent annual growth in gross domestic product, while energy consumption is estimated to expand 12 percent a year for the same period. This expected growth will put pressure on Pakistan's energy supply.