The Accelerating Investment for Climate and Clean Energy has launched the Pakistan Private Sector Energy Project (PPSE) to focus on expanding the portfolio of commercially-viable clean energy projects in Pakistan and providing support to enable them to access financing and reach financial close.
Supported by USAID, the project targets small and medium-sized enterprises (SMEs) in Pakistan, including those located in industrial zones, while also addressing the needs of isolated communities through off-grid solutions.
- The investment amount, or investment ask, should lie between US$1 million and US$50 million. This may be disbursed in smaller tranches as requested.
- ONLY for energy access and rural electrification projects (clean cook stoves, solar home systems, minigrids) an exception is made, and the investment ask can lie between US$500,000 and US$50 million. This too may be disbursed in smaller tranches as requested.
- PFAN is technology neutral, which means they do not prefer any technology over any other.
- Proposals should demonstrate that the project is commercially and technically viable and requires no or only minimal grant funding. If your project currently receives grant funding or has done so in the past, that does not affect eligibility. For more information about the selection and scoring criteria used by PFAN.
- Projects on clean energy and from all administrative units in Pakistan are eligible to receive PFAN’s support. However, preference will be given to the following market segments:
- Captive, off-grid, distributed generation with B2B PPAs (“behind the meter”) using solar and different generation sources,
- Biomass W2E (bagasse) from sugarcane and biogas in the broader dairy industry
- Mini- and microgrid establishment and operation and SHS distribution models (DESCO / PAYG) in remote and rural areas
- Electric mobility
- PFAN will not be able to support projects in the following sectors, notwithstanding their climate benefits:
- Nuclear origin
- Carbon capture and storage
- Combustion of fossil fuels
- Waste incineration
- Gas venting and flaring
- Furthermore, PFAN will not support projects that:
- Are likely to infringe on the protection of critical habitats
- Use banned pesticides and/or chemicals
- Cause involuntary resettlement or physical economic displacement
- Are likely to alter, damage, or remove any cultural heritage and/or sites
- Use forced, trafficked, or child labour
For more information, visit https://pfan.net/pakistan-private-sector-energy-project/