Amir Saeed

Lower output of Pakistan’s wind power sector caused by maintenance and operational challenges has led to dwindling investor confidence. Talking to WealthPK, Asad Mahmood, a member of the World Energy Council, highlighted that the decline in wind power output was a serious challenge. In the fiscal year 2022-23, wind power's share in the national grid decreased by 11% compared to 2021-22 despite being designated as a mandatory energy source. Asad said that full utilisation of the wind power could help lessen the nation's reliance on fossil fuels for energy production. “A noticeable drop in foreign direct investment, which is essential for the growth and development of renewable energy projects, has resulted from the wind power sector’s output loss.” He said the poor performance of the current sources of wind power caused by maintenance and operational challenges was a major factor in the decreased output. “These issues have weakened investor confidence and hurt the wind energy's reliability.”

“Foreign investors, who are crucial for funding and advancing wind power projects, are now more cautious. The long-term sustainability and expansion of wind power are threatened by this decrease in investment,” he said. The energy expert suggested addressing the operational and technical challenges to reverse the present trend and gain back investor trust. “This entails making investments in improving the infrastructure, making the current wind farms more efficient, and developing more effective maintenance plans.” Talking to WealthPK, Zulfiqar Ali, Chief Executive Officer of Safeway Renewable Energy, a solar solution provider, said that notwithstanding challenges, there have been significant advances in wind energy’s economic efficiency. “The levelised tariffs for wind energy installations have decreased by almost 70% in the last few years,” he pointed out. “Together with solar energy, wind power is the most affordable source of electricity in the country.

The decrease in tariffs reflects technological advancements and increased competition within the renewable energy sector, which should ideally make wind energy more attractive to investors despite recent output issues,” he underscored. Zulfiqar pointed out, “Though the cost of producing wind energy has decreased, there is still a lack of attention paid to the actual challenge of sustaining a steady and dependable output.” He said that improving the regulatory landscape and providing incentives for wind energy projects would draw foreign direct investment and help in the sector's revival. “Additionally, fostering partnerships between industry leaders, research institutions, and government bodies would drive innovation and accelerate the adoption of advanced technologies, ensuring long-term sustainability and growth.”

Credit: INP-WealthPk