Pakistan is set to receive an additional €2.5 million from the German government under the “Decarbonisation and Digitisation of Power Distribution Network Project” to further enhance energy efficiency and capacity building in the country’s power sector, Business Recorder reported.
The project, currently supported by the German Development Cooperation (GIZ), is being implemented in close partnership with Pakistan’s Ministry of Energy (Power Division) and other key energy sector entities.
With an initial budget of €7 million, the project aims to improve Pakistan’s energy grid efficiency, enhance digitalisation, and build local capacity to support the country’s energy transition.
The new funding will focus on developing and implementing a pilot Battery Energy Storage System (BESS), including creating a business model for its integration into Pakistan’s power distribution network.
The additional €2.5 million will also include capacity-building efforts for power sector officials, ensuring they are prepared for the integration of energy storage technologies.
To begin this process, a scoping mission will be conducted by key experts from GIZ, including Ruediger Spielkamp, an expert on renewable energy grid integration, and Jens Brinkmann, head of the DEDI project at GIZ Pakistan.
The mission will engage with both public and private sector stakeholders to gather input for the BESS pilot concept. Following the mission, GIZ will work with Pakistan’s Power Division and Distribution Companies (DISCOs) to refine the project’s framework.
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