Wang Kai

SUZHOU, Aug 14 (China Economic Net) - In a pioneering move towards building local capacity in renewable energy, an “E-Cluster” model is being implemented in Pakistan with the aim of establishing an integrated clean-energy manufacturing ecosystem across the country.

Qasim Kamal, Group Director of Suzhou IBI Engineering (Belt & Road Economic and Trade Center) which led the initiative, told China Economic Net that high-end technological capabilities, manufacturing know-how, quality standards and supply-chain expertise will be progressively introduced and localized in major industrial hubs in Pakistan.

“At the heart of the initiative is the transfer and localization of Chinese technology and industrial expertise. The goal is to build Pakistan’s own production capabilities and develop competitive ‘Made in Pakistan’ products and brands,” he said.

Through a phased localization strategy, production will adopt a CKD (completely knocked down) assembly model in the initial stage, allowing manufacturing to begin while local capabilities are developed. Over time, the localization of key components will increase, eventually leading to the establishment of a comprehensive domestic supply chain.

“For the first time, the ‘3+3’ model is developed in Pakistan. Chinese side provides technology transfer and R&D support, manufacturing lines and integrated supply-chain capabilities. Local partners, meanwhile, provide land, regulatory approvals and NOCs, as well as market development and sales capabilities,” Qasim introduced.

Joint R&D projects are being established in cooperation with Pakistani universities and local industry partners. The aim is to cultivate indigenous research capacity, develop new technologies and pursue patent applications, creating a stronger foundation for technology-driven industrial development.

The programme is also looking beyond current technologies. “Work is under way to explore hydrogen fuel-cell technologies to develop solutions capable of competing in the market in the coming years as hydrogen technologies mature,” Qasim said.

Having evolved from an idea conceived in 2022 into an implementation phase in 2026, the initiative has brought four to five partners into the programme, covering areas including battery manufacturing, electric-vehicle production and energy-storage systems. Large-scale production is expected to begin within the next five to six months.

Pakistan has become one of the fastest-growing new energy markets in Asia and globally, with cumulative solar PV deployed capacity reaching 38 GW by FY25, from less than 2 GW three years ago. Lithium-ion battery energy storage system (BESS) imports rose 220% year-on-year (YoY) to 4.6 GWh in calendar year 2025. According to Renewables First, a think tank.

Earlier this month, Pakistan’s Federal Minister for Power Awais Leghari unveiled an ambitious roadmap to increase clean electricity’s share to 90 per cent by 2035, up from the current level of 55 per cent.

“For long, Pakistan’s renewable market has been driven by import. Through the initiative, we aim to transform Pakistan into a regional clean energy manufacturing and technology hub, creating local jobs and added value,” Qasim added.