IDB, ADB agree to fund wind energy projects

The Islamic Development Bank and the Asian Development Bank has agreed to a $133 million financing plan to develop two wind farm projects in Pakistan as the nation seeks new renewable sources to overcome power shortages.

Fauji Foundation, set up as a charitable trust for former servicemen, and the nation’s Tapal Group are backing the wind power projects totaling 100 megawatts, according to a statement by the Islamic Development Bank.

Prime Minister Yusuf Raza Gilani said on March 6 that the nation has “enormous potential” for wind farms, solar power, geothermal and biofuel energy. Pakistan needs to diversify power sources away from oil and gas to overcome blackouts that beset the country restricting its growth and triggering protests in some cities this month.

The gap between power demand and supply surged to a record 7,500 megawatts on May 10, the media reported. Pakistan received private sector offers to build 1,500 megawatts of renewable power, according to the country’s Alternative Energy Development Board.