KP to market Carbon Credits via World Bank

The government of Khyber Pakhtunkhwa intends to promote and sell its carbon credits to the World Bank.

Carbon credits, which are permits that authorize a country or organization to emit a specific amount of carbon, can be traded internationally with organizations that have a higher carbon footprint.

Khyber Pakhtunkhwa government’s energy and power department has submitted a proposal to the office of the Chief Secretary, asking for authorization to approach the World Bank for technical support and resources for certifying and promoting the carbon credits of the province.

This will enable the department to more effectively market these assets, owned by the provincial government.

The proposal notes that Pakhtunkhwa Energy Development Organization (PEDO) has been producing clean energy for nearly three decades and is currently generating 161.8 MW of hydel power through hydropower projects, 28,884 KW through community-owned micro hydel power stations, and 16,054.67 KW through various daily solar projects, all of which are connected to the national grid.

Pakistan Environment Trust (PET), an Islamabad-based not-for-profit organisation, has estimated that these projects can fetch US$60 million annually for KP.