Shahzad, Qaisar and Aruga, Kentaka (2024): Energy Policy Evolution in Pakistan: Balancing Security, Efficiency, and Sustainability.
![]() |
PDF
MPRA_paper_124077.pdf Download (493kB) |
Abstract
This paper analyzes Pakistan's energy policies from 1990 to 2024, tracking their evolution from focusing on energy generation to an integrated approach emphasizing renewable energy and efficiency. Through a systematic literature review, the study evaluates policy effectiveness and identifies key implementation barriers. Early policies, such as the National Energy Conservation Policy (1992) and the Energy Policy (1994), prioritized generation capacity to meet energy security needs but paid limited attention to renewable sources or energy efficiency improvements. The policy landscape began to shift in the 2000s with the introduction of incentives for renewable energy and energy efficiency initiatives. Despite this progress, challenges related to short-term planning, inconsistent implementation, and an over-reliance on fossil fuels persist. Recent policies, such as the Alternative and Renewable Energy Policy (2019) and the National Energy Efficiency and Conservation Plan (2020-25), provide a comprehensive framework for promoting sustainable energy practices. However, persistent institutional, financial, and regulatory barriers limit their effectiveness. The paper recommends that Pakistan's energy strategy focus on long-term planning, strengthened fiscal incentives, and enhanced institutional support to align with global energy security and climate resilience standards. These recommendations aim to foster a sustainable energy future, advancing national energy security and environmental goals.
Item Type: | MPRA Paper |
---|---|
Original Title: | Energy Policy Evolution in Pakistan: Balancing Security, Efficiency, and Sustainability |
English Title: | Energy Policy Evolution in Pakistan: Balancing Security, Efficiency, and Sustainability |
Language: | English |
Keywords: | Energy Policy, Energy Efficiency, Environment, fossil fuel. |
Subjects: | Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q5 - Environmental Economics Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q5 - Environmental Economics > Q51 - Valuation of Environmental Effects Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q5 - Environmental Economics > Q58 - Government Policy |
Item ID: | 124077 |
Depositing User: | Qaisar Shahzad |
Date Deposited: | 27 Mar 2025 14:20 |
Last Modified: | 27 Mar 2025 14:20 |
References: | Ahad, M., Farid, S., & Anwer, Z. (2024). Designing energy policy in the presence of underground economy: The case of Pakistan. International Journal of Emerging Markets, 19(2), 367–389. Ahmed, W., Tan, Q., Shaikh, G. M., Waqas, H., Kanasro, N. A., Ali, S., & Solangi, Y. A. (2020). Assessing and prioritizing the climate change policy objectives for sustainable development in Pakistan. Symmetry, 12(8), 1203. Aized, T., Rehman, S. M. S., & Sumair, M. (2021). Pakistan energy situation, policy, and issues. In Recent Advances in Renewable Energy Technologies (pp. 387–428). Aized, T., Shahid, M., Bhatti, A. A., Saleem, M., & Anandarajah, G. (2018). Energy security and renewable energy policy analysis of Pakistan. Renewable and Sustainable Energy Reviews, 84, 155–169. Akram, R., Chen, F., Khalid, F., Ye, Z., & Majeed, M. T. (2020). Heterogeneous effects of energy efficiency and renewable energy on carbon emissions: Evidence from developing countries. Journal of Cleaner Production, 247, 119122. Akram, R., Umar, M., Xiaoli, G., & Chen, F. (2022). Dynamic linkages between energy efficiency, renewable energy along with economic growth and carbon emission: A case of MINT countries an asymmetric analysis. Energy Reports, 8, 2119–2130. Ali, Z., Liaquat, R., Khoja, A. H., & Safdar, U. (2021). A comparison of energy policies of Pakistan and their impact on bioenergy development. Sustainable Energy Technologies and Assessments, 46, 101246. Baloch, M. H., Chauhdary, S. T., Ishak, D., Kaloi, G. S., Nadeem, M. H., Wattoo, W. A., Younas, T., & Hamid, H. T. (2019). Hybrid energy sources status of Pakistan: An optimal technical proposal to solve the power crises issues. Energy Strategy Reviews, 24, 132–153. https://doi.org/10.1016/j.esr.2019.02.001 Babar, H., Chaudhry, I. A., Saleem, M. K., & Nouman, A. (2022). Energy policy of Pakistan: A consumer perspective. 2022 5th International Conference on Energy Conservation and Efficiency (ICECE). Bang, G. (2010). Energy security and climate change concerns: Triggers for energy policy change in the United States? Energy Policy, 38(4), 1645–1653. Canton, H. (2021). International Energy Agency—IEA. In The Europa Directory of International Organizations 2021 (pp. 684–686). Routledge. Danish, R. U., & Khan, S. U. D. (2020). Relationship between energy intensity and CO2 emissions: Does economic policy matter? Sustainable Development, 28(5), 1457–1464. https://doi.org/10.1002/sd.2098 Danish, K., Ulucak, R., Khan, S. U. D., Baloch, M. A., & Li, N. (2020). Mitigation pathways toward sustainable development: Is there any trade‐off between environmental regulation and carbon emissions reduction? Sustainable Development, 28(4), 813–822. Danish, M. S. S., Bhattacharya, A., Stepanova, D., Mikhaylov, A., Grilli, M. L., Khosravy, M., & Senjyu, T. (2020). A systematic review of metal oxide applications for energy and environmental sustainability. Metals, 10(12), 1604. Edziah, B. K., & Opoku, E. E. O. (2024). Enhancing energy efficiency in Asia-Pacific: Comprehensive energy policy analysis. Energy Economics, 138, 107831. Elkhatat, A., & Al-Muhtaseb, S. (2024). Climate change and energy security: A comparative analysis of the role of energy policies in advancing environmental sustainability. Energies, 17(13), 3179. Gordon, R., Butler, K., Cooper, P., Waitt, G., & Magee, C. (2017). Look before you LIEEP: Practicalities of using ecological systems social marketing to improve thermal comfort. Journal of Social Marketing, 8(1), 99–119. Government of Pakistan (GOP). (2013). National Power Policy, 2013. Grant, M. J., & Booth, A. (2009). A typology of reviews: An analysis of 14 review types and associated methodologies. Health Information & Libraries Journal, 26(2), 91–108. Hali, S. M., Yong, S. S., & Kamran, S. M. (2017). Impact of energy sources and the electricity crisis on the economic growth: Policy implications for Pakistan. Journal of Energy Technology and Policy, 7(2). Higgins, J. P. T. (2008). Cochrane handbook for systematic reviews of interventions. http://www.cochrane-handbook.org Hassan, M., Afridi, M. K., & Khan, M. I. (2019). Energy policies and environmental security: A multi-criteria analysis of energy policies of Pakistan. International Journal of Green Energy, 16(7), 510–519. Hassan, M., Khan, M. I., Mumtaz, M. W., & Mukhtar, H. (2021). Energy and environmental security nexus in Pakistan. Energy and Environmental Security in Developing Countries, 147–172. Hussain, S. A., Razi, F., Hewage, K., & Sadiq, R. (2023). The perspective of energy poverty and 1st energy crisis of green transition. Energy, 275, 127487. Iram, R., Zhang, J., Erdogan, S., Abbas, Q., & Mohsin, M. (2020). Economics of energy and environmental efficiency: Evidence from OECD countries. Environmental Science and Pollution Research, 27, 3858–3870. Irfan, M., Hameed, S. A., Sarwar, U. B., Abas, N., & Saleem, S. (2019). SWOT analysis of energy policy 2013 of Pakistan. European Journal of Engineering Science and Technology, 2(1), 71–94. https://doi.org/10.5281/zenodo.2579398 Javid, M., & Khan, M. (2020). Energy efficiency and underlying carbon emission trends. Environmental Science and Pollution Research, 27(3), 3224–3236. Keay, M. (2016). UK energy policy–Stuck in ideological limbo? Energy Policy, 94, 247–252. Khan, S. A. R., Yu, Z., Ridwan, I. L., Irshad, R., Ponce, P., & Tanveer, M. (2023). Energy efficiency, carbon neutrality and technological innovation: A strategic move towards green economy. Economic Research-Ekonomska Istraživanja, 36(2). Le, T. H., & Nguyen, C. P. (2019). Is energy security a driver for economic growth? Evidence from a global sample. Energy Policy, 129, 436–451. https://doi.org/10.1016/j.enpol.2019.02.038 Li, M., Peng, M. Y. P., Nazar, R., Adeleye, B. N., Shang, M., & Waqas, M. (2022). How does energy efficiency mitigate carbon emissions without reducing economic growth in post post-COVID-19 era? Frontiers in Energy Research, 10, 832189. Malik, S., Qasim, M., Saeed, H., Chang, Y., & Taghizadeh-Hesary, F. (2020). Energy security in Pakistan: Perspectives and policy implications from a quantitative analysis. Energy Policy, 144, 111552. Mirjat, N. H., Uqaili, M. A., Harijan, K., Valasai, G. D., Shaikh, F., & Waris, M. (2017). A review of energy and power planning and policies of Pakistan. Renewable and Sustainable Energy Reviews, 79, 110–127. Mahar, W. A., Anwar, N. U. R., & Attia, S. (2019). Building energy efficiency policies and practices in Pakistan: A literature review. AIP Conference Proceedings. https://doi.org/10.1063/1.5115364 Nadeem, F. (2014). Barriers, drivers and policy options for improving industrial energy efficiency in Pakistan. International Journal of Engineering, 8, 49–59. Narejo, G. B., Azeem, F., & Zardari, S. (2017). An energy policy analysis and proposed remedial actions to reduce energy crises in Pakistan. Mehran University Research Journal of Engineering and Technology, 36(2), 401–406. Naz, J., Ahmed, M. F., & Khan, R. A. (2024). Pakistan energy outlook for next 25 years. Bulletin of Business and Economics, 13(2), 563–572. National Energy Efficiency and Conservation Authority (NEECA). (2020). NEECA's Strategic Plan. Ministry of Energy. NEECA. (2020). National Energy Efficiency and Conservation (NEECA) Plan (2020-25). Qudrat-Ullah, H. (2022). A review and analysis of renewable energy policies and CO2 emissions of Pakistan. Energy, 238, 121849. Rauf, O., Wang, S., Yuan, P., & Tan, J. (2015). An overview of energy status and development in Pakistan. Renewable and Sustainable Energy Reviews, 48, 892–931. Raza, M. A., Khatri, K. L., Israr, A., Haque, M. I. U., Ahmed, M., Rafique, K., & Saand, A. S. (2022). Energy demand and production forecasting in Pakistan. Energy Strategy Reviews, 39, 100788. Raza, M. Y., & Lin, B. (2022). Energy efficiency and factor productivity in Pakistan: Policy perspectives. Energy, 247, 123461. Raza, S. A., Shahbaz, M., & Nguyen, D. K. (2015). Energy conservation policies, growth and trade performance: Evidence of feedback hypothesis in Pakistan. Energy Policy, 80, 1–10. Saira, B. (2023). Energy policies of Pakistan; A comparative analysis (1994-2013). Journal of Politics and International Studies, 6(2). Sajid, Z., & Javaid, A. (2018). A stochastic approach to energy policy and management: A case study of the Pakistan energy crisis. Energies, 11(9), 2424. Shahzad, Q., & Aruga, K. (2023). Does the environmental Kuznets curve hold for coal consumption? Evidence from South and East Asian countries. Sustainability, 15(6), 5532. Shahzad, Q., & Aruga, K. (2024). Spatial effect of economic performance on the ecological footprint: Evidence from Asian countries. Environment, Development and Sustainability, 1–15. Shahzad, A., & Hamza, N. (2024). Conceptualizing green governance: Prospects and challenges for Pakistan. Journal of Politics and International Studies, 10(2), 1–13. Ul-Haq, A., Jalal, M., Sindi, H. F., & Ahmad, S. (2020). Energy scenario in South Asia: Analytical assessment and policy implications. IEEE Access, 8, 156190–156207. Ullah, W., Bashir, H., Marwat, I. U. K., Umar, M., & Khan, S. R. (2024). Economic implications of climate change in Pakistan: A comprehensive analysis. Insights of Pakistan, Iran and the Caucasus Studies, 3(4), 25–37. Wallace, J. C., Popp, E., & Mondore, S. (2006). Safety climate as a mediator between foundation climates and occupational accidents: A group-level investigation. Journal of Applied Psychology, 91(3), 681. Wenlong, Z., Tien, N. H., Sibghatullah, A., Asih, D., Soelton, M., & Ramli, Y. (2023). Impact of energy efficiency, technology innovation, institutional quality, and trade openness on greenhouse gas emissions in ten Asian economies. Environmental Science and Pollution Research, 30(15), 43024–43039. Wu, B., Liu, S., Wang, J., Tahir, S., & Patwary, A. K. (2021). Assessing the mechanism of energy efficiency and energy poverty alleviation based on environmental regulation policy measures. Environmental Science and Pollution Research, 28, 40858–40870. Xiuhui, J., & Raza, M. Y. (2022). Delving into Pakistan's industrial economy and carbon mitigation: An effort toward sustainable development goals. Energy Strategy Reviews, 41, 100839. Yar, M. A., Salman, A., & Ahmed, I. (2022). Pakistan's alternative and renewable energy policy—Step towards energy security. Islamabad Policy Research Institute (IPRI). Yenneti, K., Rahiman, R., Panda, A., & Pignatta, G. (2019). Smart energy management policy in India—A review. Energies, 12(17), 3214. Zafar, U., Rashid, T. U., Khosa, A. A., Khalil, M. S., & Rashid, M. (2018). An overview of implemented renewable energy policy of Pakistan. Renewable and Sustainable Energy Reviews, 82, 654–665. Zhao, L., Chau, K. Y., Tran, T. K., Sadiq, M., Xuyen, N. T. M., & Phan, T. T. H. (2022). Enhancing green economic recovery through green bonds financing and energy efficiency investments. Economic Analysis and Policy, 76, 488–501. Zheng, J., Dang, Y., & Assad, U. (2024). Household energy consumption, energy efficiency, and household income–Evidence from China. Applied Energy, 353, 122074. |
URI: | https://mpra.ub.uni-muenchen.de/id/eprint/124077 |