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National Energy Efficiency and Conservation Act, 2016 (Pakistan)

The National Energy Efficiency and Conservation Act provides for the establishment of institutions, mechanisms and procedures for effective conservation and efficient use of energy. It establishes the Pakistan Energy Efficiency and Conservation Board (Board), as well as the National Energy Efficiency and Conservation Authority (Authority). The Board is empowered to supervise, manage and direct policy of the Authority, and perform all acts which the latter may do. The Authority is empowered to serve as the sole focal Federal authority for initiating, catalyzing, carrying out and coordinating the implementation of all energy conservation programs in all sectors of the economy, among others. The Act also establishes the Authority Fund which shall be used to meet charges in connection with the functions of the Authority under the Act. The Federal Government is also given powers and functions in order to facilitate and enforce efficient use of energy and its conservation concerning energy consumption standards, prohibition of sale of appliances unless conforming with energy consumption standards, altering list of energy intensive industries, and the like. The vision of the National Power Policy is for Pakistan to develop the most efficient and consumer centric power generation, transmission, and distribution system that meets the needs of its population and boosts its economy in a sustainable and affordable manner. 

To achieve the long-term vision of the power sector and overcome its challenges, the Government of Pakistan has set the following nine goals: 

  1. Build a power generation capacity that can meet Pakistan’s energy needs in a sustainable manner. 
  2. Create a culture of energy conservation and responsibility 
  3. Ensure the generation of inexpensive and affordable electricity for domestic, commercial, and industrial use by using indigenous resources such as coal (Thar coal) and hydel. 
  4. Minimize pilferage and adulteration in fuel supply. 
  5. Promote world class efficiency in power generation. 
  6. Create a cutting edge transmission network. 
  7. Minimize inefficiencies in the distribution system. 
  8. Minimize financial losses across the system. 
  9. Align the ministries involved in the energy sector and improve the governance of all related federal and provincial departments, as well as regulators.