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March 22, 2019

Pakistan, USAID Sign MoU to Plan For Future Energy Need

Pakistan and the United States Agency for International Development (USAID) have signed a Memorandum of Understanding (MOU) to coordinate on integrated energy planning in Pakistan.

Under the MoU, an integrated energy management center will be set up to assess future energy needs of Pakistan and draw plan to meet them. The proposed set up, supported by the United State, will help policymakers understand the impacts of different energy policy options and support effective short-term decisions that are consistent with long-term energy and economic objectives.

Secretary Planning Commission Naseem Khokhar and USAID’s Pakistan Mission Director, John Groarke signed the MoU on Nov. 8.

Recent investment in the energy sector has boosted power supplies and the country for the first time was able to touch the 16,000 MW, Planning Minister Ahsan Iqbal said at the signing ceremony.  Pakistan is aiming to increase the output by another 10,000 MW by 2018, when the tenure of the present government ends.

Speaking at the ceremony, USAID Mission Director John Groarke said, “Through the improved planning process, governments and utilities will evaluate a range of feasible policy and resource options and assess them against a common set of planning objectives and criteria. The integrated energy planning process will help policymakers understand the impacts of different energy policy options.”

With the support of the U.S. government, Pakistan added 1,300 MW of electricity to the national grid during the past three years. Cooperation in the energy sector is part of the Strategic Dialogue between the two allies.

The World Bank and the International Monetary Fund has praised the present government for restoring economic stability through reforms and policies to boost revenue.

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