Sustainable Energy and the Role of CPEC: Green Promise or Carbon Lock In?

This chapter explores the impact of the CPEC on Pakistan’s energy sector, examining both its potential to address the country’s energy crisis and the sustainability challenges it presents. With energy demand outstripping supply and circular debt escalating, Pakistan faces a pressing energy deficit, which CPEC aims to alleviate through major investments in coal, hydro, and renewable energy projects. Despite the promise of over 17,000 MW of additional capacity by 2025, a critical concern remains i.e. CPEC’s reliance on coal-fired power plants could hinder Pakistan’s transition to a low-carbon future. This chapter analyses the balance between CPEC’s coal-focused energy strategy and the growing need for renewable energy, considering the environmental, economic, and geopolitical implications. The potential for CPEC to foster a green energy revolution in Pakistan through technology transfer, job creation, and international collaboration is significant. However, the emphasis on coal threatens to lock Pakistan into a high-carbon development trajectory. A revaluation of CPEC’s energy investments is crucial to ensure that Pakistan’s energy future aligns with global sustainability goals.