Solar PV projects under G2G mode: PM allows PD to seek approval of summary from Cabinet
In Short : Prime Minister grants permission to the Project Director to seek Cabinet approval for Solar PV projects under the Government-to-Government (G2G) mode. This decision reflects a commitment to advancing solar initiatives through streamlined decision-making processes.
In Detail : ISLAMABAD : Caretaker Prime Minister Anwar-ul-Haq Kakar has allowed Power Division to seek approval of a summary on draft G2G framework agreements with Saudi Arabia, United Arab Emirates (UAE), Qatar and Kuwait, etc, from the federal cabinet through circulation, well-informed sources told Business Recorder.
Sharing the details, sources said the cabinet on October 18, 2022 approved several interventions under the Framework Guidelines for Fast-Track Solar PV Initiatives 2022 for fast-track deployment of solar PV projects including, inter alia, substitution of expensive imported fossil fuels with solar PV Energy Initiative.
Under this initiative, solar PV based power generation capacity shall be procured for substitution of expensive imported fossil fuels used for power generation.
According to sources, the Framework Guidelines as well as Alternative Renewable Energy (ARE) Policy 2019 also allow the development of such projects for fuel substitution under Government -to-Government (G2G) mode.
In this regard, GoP has received interest from the Government of the Kingdom of Saudi Arabia, United Arab Emirates, Qatar and Kuwait for development of solar PV projects in Pakistan under G2G mode. Under the Inter-Governmental Commercial Transactions Act 2022 (IGCTA), a G2G agreement shall include broad parameters and mechanism for execution of intended commercial transaction(s).
The sources said, draft G2G Framework Agreements in respect of governments were prepared for the purpose of development of ARE Projects in Pakistan in G2G mode.
In accordance with rule 18(4) of the Rules of Business, I973, the same were sent to Ministry of Law and Justice for vetting/examination from legal point of view and Ministry of Foreign Affairs from political point of view.
The draft agreements after incorporating the comments of Ministry of Law and Justice have also been shared with the caretaker Prime Minister.
Power Division in its proposal stated that in terms of Rule 17(l)(b) of the Rules of Business, 1973, approval of the Prime Minister was solicited for placing the draft summary before the Cabinet, regarding its concurrence for institution of negotiations and signing the draft agreements (with any amendments proposed by the counterpart parties) with the governments of respective countries, through circulation.
The sources said, caretaker Prime Minister has approved the proposal of Power Division with regard to approval of draft G2G framework agreements with Saudi Arabia, UAE, Qatar and Kuwait, etc.
