Photo Caption: Akhuwat Islamic Finance (AIM), K-Electric, and Engro Energy signed a Memorandum of Understanding (MoU) on Wednesday to offer interest-free microfinance loans (Qarz-e-Hasna) to households and small business owners for the installation of solar photovoltaic (PV) systems. Chairman NEPRA, Mr. Tauseef H. Farooqi, presided the occasion while NEPRA Members also present during the ceremony.
Islamabad, October 6, 2021: To help reduce energy poverty and make solar power more accessible especially for the unserved and underserved communities of Pakistan, NEPRA under its CSR drive “Power with Prosperity” has brought Akhuwat Islamic Finance (AIM), K-Electric and Engro Energy together who all signed a Memorandum of Understanding (MoU) today at NEPRA HQ, to offer interest-free microfinance loans (Qarz-e-Hasna) to households and small business owners for the installation of solar photovoltaic (PV) systems. The trio collaborated under the visionary leadership of Mr. Tauseef H. Farooqi – Chairman NEPRA, who launched Power with Prosperity Fund earlier this year to initiate mega CSR projects to uplift the underprivileged communities of the country.
This venture has come at a time when solar power makes less than 2% of the entire power mix. With the government’s intent of boosting the share of clean and green energy up to 60% of the total energy mix by the year 2030 under the leadership of Prime Minister Imran Khan, this initiative by NEPRA will prove to be a game-changer and an avenue to provide access to a clean energy source in an affordable manner for homeowners and small businesses.
For this purpose, KE and Engro Energy are donating a cumulative revolving grant of PKR 15 Million to Akhuwat which will create a dedicated credit pool for the loan borrowers. The loan duration will be up-to 36 Months with a minimum loan size of PKR 20,000 with no interest rate.
Elated at the occasion, Mr. Tauseef H. Farooqi – Chairman, NEPRA said, “Extremely delighted to see that different organizations are gathering today under NEPRA’s CSR banner of Power with prosperity. As a regulator, NEPRA is striving to create an enabling environment to promote the culture of shared value and inclusiveness in the power sector. This initiative is one among many other steps taken by NEPRA in the recent past to bring improvement in the power sector’s culture. Moreover, nearly 30% of Pakistanis are still living today without electricity, NEPRA is leading such initiatives to bridge this gap between the served and unserved communities of Pakistan. It is the moment of ultimate satisfaction that NEPRA is facilitating a partnership between power companies and social development organizations for the benefit of all such communities at large. We appreciate Engro Power and K-Electric for playing remarkable role in our efforts in promoting the use of green energy for greener Pakistan. We are also sure that as these companies have set an example for all other companies in the sector to follow and join hands in the near future.”
Chairman Akhuwat Foundation, Dr. Amjad Saqib said, “It is one of its kind initiative in Pakistan that organizations are collaborating on such scale to make renewable energy solutions easily affordable for the masses. This initiative is not only a milestone towards reducing energy poverty in the country but also a step towards making a carbon-free future. We will look forward to seeing more members of the power industry joining hands and taking the lead in realizing NEPRA’s vision of Power with Prosperity.”
Mr. Moonis Alvi, CEO – K-Electric, while expressing his support to the initiative, added, “As the world is focusing on addressing the climate change problem, K-Electric is leading various projects for environment protection and sustainability. I am pleased that K-Electric is also contributing to this solarization project that coincides with Social Development Goal (SDG) 7, which is to make renewable energy more accessible for all. It is also inspiring to see that the honorable Chairman and Members from the NEPRA Authority have a special focus on societal development which encourages organizations to undertake ambitious community upliftment programs.”
Mr. Ahsan Zafar Syed, CEO, Engro Energy Limited; expressed his opinion “Engro, has a rich legacy of always playing a part in solving the most pressing issues of our times. Our social interventions ensure that our stakeholder communities are the main beneficiaries and are a part of our inclusive business model. This partnership with Akhuwat; is in line with our efforts to play a part in the transformation which is taking place in the energy landscape of Pakistan and ensuring the masses are able to benefit from accessible and affordable energy. Engro stands together with NEPRA in powering prosperity and playing a part in bringing social welfare through such initiatives in Pakistan.”