How the Sugar REET Project Supported Pakistan Towards Clean Energy A large population coupled with ongoing economic development have led to increased energy consumption in Pakistan. Faced with growing demand, the country needs to explore and tap cost-effective, clean, and alternative energy sources to bridge the electricity demand-supply gap. While Pakistan’s energy generation is mainly dependent on fossil fuels, the utilisation of biomass energy from the sugar industry not only holds great potential to reduce carbon emissions, environmental pollution and waste, but it can also increase industrial efficiency, create green jobs, and bring economic benefits to farmers. Since its launch in 2018, the Sugar REET project promoted sustainable bio-energy production by supporting Pakistani sugar manufacturing small and medium-sized enterprises (SMEs) to upgrade their current inefficient technologies. The SMEs were assisted in reducing their energy consumption as well as decreasing dependance on fossil fuel-based energy resources. Through transitioning from fossil fuel-based to a biomass-based electricity generation, the project supported SMEs to lower their greenhouse gas emissions. During its four years, the Sugar REET project has offered regulatory advice, bridged access to finance, and developed capacities in technology up-gradation. The project specifically contributed in the following: Improving regulatory frameworks: Sugar REET supported Pakistan’s National Energy Efficiency and Conservation Authority (NEECA) by presenting regional best practices in regulatory frameworks (from India and Thailand) for energy conservation. This helped NEECA to revise its existing energy conservation policy and set the regulatory requirements for sustainable production for the Sugar SMEs. Building capacities of financial institutions: The project conducted a review of clean finance instruments (CFIs) and provided recommendations for adopting selected CFIs and co-financing schemes in Pakistan. In the meanwhile, 45 representatives of Pakistani financial institutions were trained in workshops organised by the CSCP regarding the evaluation and mitigation of risks when it comes to financing clean technologies. The State Bank of Pakistan was also supported in the revision of its policy for financing clean investments in the sector. Furthermore, the project built capacities of the sugar sector, the solution/service providers, and farmers in sustainable production and consumption. Detailed energy audits have been carried out at 39 sugar mills and respective business cases have been developed. Boiler Retrofitting audits have been carried out for 20 sugar mills and eight sugar mills have taken the financial decision to implement clean energy measures. The Sugar REET project was carried by the CSCP, while the Iqbal Hamid Trust has supported the implementation of local project activities. The project ran between March 2018 and February 2022 as part of the SWITCH-Asia Programme. For further questions, please contact Ahmad ur-Hafiz.