Transforming Pakistan’s Energy Landscape: Insights from European Perspectives and Global Partnerships

Abstract

Pakistan’s power sector finds itself at a watershed that is at once an intersection of geopolitics, poverty, and climate change. Expanding the country’s energy infrastructure has been largely through international investment, especially, through the China-Pakistan Economic Corridor (CPEC). But domestic problems, like circular debt, governance inefficiency and, persistent energy poverty, continue to hamper its forward march. In this article, we look at the geopolitical dynamics that shape Pakistan’s energy strategy, its complex dependence on coal, and the implications for the country’s international climate commitments. The paper also analyses how international actors can influence Pakistan’s energy future, as China’s growing influence calls for diversification through partnerships with other European countries. The article discusses the European institutions’ role in aiding renewable energy initiatives and enhancing governance by taking into account a European perspective related to those initiatives. This analysis draws from the 2020 Atlantic Council report and recent developments to provide an updated assessment of Pakistan’s energy skyline. Governance, reforms, transparency, and a move to a cleaner energy mix are recommended as strategic imperatives. It concludes by calling attention to the important balance Pakistan must strike between short term energy requirements and long term environmental responsibility with active international cooperation aimed at strengthening their resilience and energy security.