By Ayesha Saba ISLAMABAD, Feb 24 (INP-WealthPK) The demand for energy is steadily increasing in Pakistan due to rapid development and a large population. Pakistan primarily relies on fossil fuels, which are insufficient to meet its growing energy consumption. This energy-hungry South Asian country needs cheap, sustainable sources of power generation. The federal and provincial governments agree that new power plants are required to meet the increasing energy demand. In the given scenario, solar power plants offer the country a solution to address its energy woes. The federal cabinet recently authorised a deal between the China Pakistan Economic Corridor Authority and the Chinese Ministry of Ecology and Environment for the supply of 3,000 solar power generators to the Gwadar residents who are facing power cuts. Talking to INP-WealthPk, Socio Economic Development and Gwadar Specialist in CPEC Authority Muhammad Adnan Khan said, “To address the current energy issues, it is very important to exploit the existing solar energy resources. Meanwhile, public and private sector investment is needed to harness its true potential. In recent years, Pakistan has taken some initiatives to fulfil its partial energy requirements through the renewable energy projects. The construction of Gwadar Port has become a milestone in China-Pakistan relations. It has been recognised as an initiative for collective regional economic activities. CPEC is considered to be the most significant foreign direct investment (FDI) in Pakistan. Now it’s been seven times greater since 2015. USD16 billion worth of FDI from China has been completed, while USD9 billion FDI is yet to be implemented.” “Since Pakistan is a developing country, foreign direct investment is necessary for its economic growth. Balochistan is mostly desert and dry with an abundance of sunshine and severe deficiency of infrastructure and transport capability and population clustering. The electricity crisis has become a grave issue for the people of Gwadar. Last summer, we had to face a power crisis, as Gwadar is far from the national grid and it is not possible to supply electricity everywhere because there are technical challenges too. Moving towards solar energy is the only solution. So, to cope up with this issue, the federal government has decided to give immediate relief and approved this project,” Adnan continued. Adnan said there were not only solar panels, but also many electrical appliances like batteries, bulbs, tube lights, mobile charges and many other multiple equipment and it will become very economical for low and middle-income households. He said the solar units will arrive by the first week of February and their installation will be completed by the end of March. Speaking to INP-WealthPK, Assistant Director of the Alternative Energy Development Board (AEDB) Muhammad Yasin said, “In view of the current energy crisis, it is necessary to be more focused on renewable energy sources. Geographically, Since Pakistan lies in the sun belt and receives massive amounts of sunlight all through the year, it has the potential to generate electricity through the solar power. The AEDB does regulations to facilitate consumers in installing solar-powered electricity generation systems.” Yasin said the energy and infrastructure related projects are of immense importance for Pakistan’s economy and they should be completed as soon as possible because Pakistan is facing a severe energy crisis that has hampered its economic growth. ‘’Unfortunately, in the past little importance was given towards generating new sources of energy. The Government of Pakistan has now realised that without solving the energy crisis, the country cannot develop.” Pakistan is one of the most strategically significant countries in the region, and its geo-strategic position will play a vital role in the future regional economic landscape. For China, the strategic location of Pakistan is vital for formulating its future strategy in the region and, therefore, the two countries have agreed on constructing an economic corridor from Gwadar to Kashgar. Renewable energy, which is now at its nascent stage in Pakistan, holds a huge potential for development. Therefore, it is imperative to comprehensively review the future energy demand and its determinants so as to come up with suitable policy decisions in advance.