Pakistan calls for action to offset high energy prices

UNITED NATIONS: Pakistan urged the international community on Tuesday to evolve a financing mechanism to offset the high energy prices for the most severely affected countries.

Speaking at an ambassador-level briefing of the Group of 77 at the United Nations, Pakistan’s permanent envoy Munir Akram said that “highest priority must be given to ensuring energy access to all, from all sources”.

This, he said, “should include ensuring equitable access to energy sources and a financing mechanism to offset the high prices”.

Pakistan acquires most of its primary energy supplies from oil and natural gas. As global crude oil prices skyrocketed, so did Pakistan’s import bill.

In the first 11 months of the fiscal year 2021-22, Pakistan’s crude oil imports jumped to $4.76 billion, from $2.72bn during the same period of the previous fiscal year.

“Energy is a key enabler for economic growth, development, and prosperity. It is the entry point for the achievement of most of the Sustainable Development Goals (SDGs),” said Ambassador Akram while addressing the G-77 briefing on energy.

Pakistan currently chairs the Group of 77, which is a coalition of 134 developing countries in the United Nations. The group promotes collective economic interests of the member states within the UN system.

Ambassador Akram reminded the international community that energy was responsible for two-thirds of the total greenhouse gas (GHG) emissions and 80 per cent of CO2 emissions, while emphasising the need to help G-77 nations in developing renewable energy sources.

According to the International Energy Agency (IEA), hydropower is the main renewable source of energy in Pakistan, but wind and solar PV’s shares are slowly growing. Yet, more than 40 million people remain without access to electricity and half the population lack access to clean cooking facilities.

Ambassador Akram also stressed this point, telling the audience that 733 million people around the globe live without electricity and nearly four million die every year due to non-availability of clean cooking energy. “This suggests that with the current pace we will not be able to achieve the 2030 Agenda for Sustainable Development,” he said.

He also quoted from estimates released by various agencies which show that rapid deployment of renewable, coupled with energy efficiency can reduce emission by around 90 per cent in the energy sector by 2050.