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ISLAMABAD, Jan 17 (APP):Energy experts, policymakers and industry stakeholders have said that sector coupling and grid reforms could emerge as a potential solution to address Pakistan’s over capacity and under-utilized power issues that are draining the country’s economy.
These economic opportunities for Pakistan were discussed during a webinar, titled “Wind Curtailment in Pakistan: The Way Forward through Sector Coupling”, organized by the Sustainable Development Policy Institute (SDPI) under its Clean Energy Transition Program.
Engr. Ubaid ur Rehman Zia, Head of Energy Unit at SDPI, highlighted that in Pakistan, a growing share of low-cost wind energy is being curtailed not because it is expensive or unreliable, but because the system is structurally unable to absorb it. This is not a technical failure of wind power. It is an economic and system-design failure, said a press release.
He mentioned that sector coupling offers a fundamentally different way of thinking about wind power not merely as electricity for the grid, but as a primary energy input into multiple economic value chains.
It can transforms curtailment into monetizable output, decouples wind economics from domestic growth, improves system efficiency, and reduced circular debt.
Wind energy expert Irfan Ahmad said that wind power projects in Sindh were being curtailed by up to 40 per cent due to grid congestion, particularly after the commissioning of the K-2 and K-3 nuclear power plants, each with a capacity of 1,100MW.
He said the transmission network was not designed to integrate more than 15 per cent renewables, despite Pakistan having utilized less than 2GW of its estimated 1,500GW wind potential.
“Curtailment is not just a revenue loss for wind projects; it is a national loss,” he said, adding that reduced net delivered energy was lowering tariffs and causing physical degradation of wind turbine generators operating outside their technical limits.
He warned of blade damage, stress on pitch systems and reduced equipment life, noting that some investors had already diverted capital to other sectors.
Muhammad Hamza Naeem from Agora Energiewende said that Pakistan’s issue was not mixed generation volumes but grid expansion and flexibility. He advocated low-cost solutions such as electrification of industrial heat through electric boilers, EV charging infrastructure, and, in the longer term, green hydrogen once anchor demand emerges.
He said sector coupling required deliberate grid planning, market reforms and tariffs that rewarded flexibility and participation.
Tanveer Afzal Mirza described curtailment of must-run wind projects as a policy paradox and called for integrating sector coupling with government planning and industrial policy.
He highlighted Pakistan’s 180-kilometre-long wind corridor, capable of producing up to 50,000MW, and proposed pilot projects for export-oriented industries powered by wind and solar energy.
He also pointed to the potential for green hydrogen production along the Gharo coast, particularly for ammonia and fertilizer exports.
Irfan Siddiqui from Ministry of Planning, Development and Special Initiatives mentioned that the government is Pakistan is pursuing export-led economic revival plan and sector coupling provide a clean opportunity to addressing energy sector issues.
He also noted that a national hydrogen strategy is under approval and would be able to build investor trust around green hydrogen production initiatives.
Concluding the discussion, SDPI energy economist Dr Khalid Waleed said the dialogue was timely, calling for integrated power, resource and economic planning. He said sector coupling could create jobs, generate export revenues and stabilise the power system through options such as hydrogen, storage technologies and industrial electrification.
He also highlighted opportunities linked to special economic zones, particularly Dhabeji SEZ, and the potential to align China’s stranded energy investments with Pakistan’s transition.