In today’s rapidly evolving world, the dynamics of global development are increasingly shaping an interconnected landscape where states rely on each other for economic, technological, and infrastructural progress. They become part of a global network that transcends borders.
In 2021, the G7 countries launched the “Build Back Better World” (B3W) initiative in response to China’s Belt and Road Initiative (BRI). B3W aims to support infrastructure projects in developing and middle-income nations while prioritizing green investments and social welfare. However, since 2021 no investments have been made in any sector despite of passage of three years.
Whereas China’s BRI mainly focuses on connectivity through infrastructure and development of the member states. China has invested around USD 1 Trillion out of which USD 634 Billion in infrastructural development while USD 419 in non-financial investments. To combat climate challenges China has also contributed USD 7.9 billion under the BRI. China is playing its leading role in providing most green environment to the world by transforming traditional sources of energy and transportation by investing in metals and mining which are relevant to the green transition that is lithium batteries used in electric vehicles.
In 2018, China signed the Green Investment Principles (GIP) as part of its Belt and Road Initiative (BRI) to promote green initiatives and phase out carbon-intensive investments in the BRI. Multiple stakeholders from different countries, including Pakistan, signed this principle. The GIP aims to raise awareness about environmental issues and collectively adopt green supply chain management to reduce carbon footprints.
In 2021, while pledging to address climate change, President Xi Jinping announced at the United Nations General Assembly (UNGA) that China would not build new coal-fired power projects abroad and would support other countries in developing green and low-carbon energy. Over the past few years, countries including China have contributed to green bonds to finance environmentally friendly projects. In 2023, China issued green bonds worth $80 billion, surpassing the green bonds issued by the United States and Germany.
China-Pakistan Economic Corridor (CPEC) is a flagship project of the BRI and China’s investment in Pakistan is taking all aspects of a greener environment into account besides developmental projects. Meanwhile, CPEC, a project that has been underway for more than a decade, is adapting over time to ensure climate sustainability and promote a cleaner and greener environment.
A decade of CPEC in Pakistan has brought significant improvements in connectivity and the power sector, but environmental challenges have led stakeholders to be more concerned about sustainable development. CPEC includes several environmental initiatives that contribute to making this corridor green. The CPEC aims to enhance the green economy in Pakistan, positively impacting both environmental and economic aspects. For decades, China has been implementing various flood management programs, which can be taken as an inspiration at CPEC sites.
Apart from CPEC, China and Pakistan are working together to address the issues of climate change and flooding in Pakistan. An agreement between the Chinese International Development Cooperation Agency (CIDCA) and the government of Pakistan was signed in April 2024 to tackle soil erosion, desertification, and flood management using Juncao Technology. This initiative is also beneficial for producing biogas and feed for livestock.
As being an agrarian economy; any environmental disaster in Pakistan would directly impact the country’s economy. While modernization demands technological advancements for a robust economy, climate change necessitates a focus on a sustainable and green economy.
The development of agricultural infrastructure in Pakistan especially areas adjacent to CPEC is critically needed to alleviate poverty, foster job creation, promote the use of renewable energy, address climate change, and enhance people’s welfare. Similarly, planting trees along CPEC routes, especially on both sides of the roads, would not only clean the environment but also help maintain temperature.
Several environmentally friendly projects aimed at promoting clean and green energy in Pakistan are helping to mitigate power shortages. These initiatives include various renewable energy projects such as wind farms and solar parks supported under CPEC. Four wind-power projects currently generate nearly 300 megawatts of energy. Additionally, the Karot Hydropower project, capable of producing 720MW of energy, represents a prominent example of modern hydropower technology, developed under a Build-Own-Operate-Transfer (BOOT) model. Similarly, the 884MW Suki Kinari Hydropower Project is environmentally friendly. The Thar coal-fired power plants are highly discussed and criticized, often without analyzing their cost and benefits. The Thar coal projects have immense potential to address the challenges of power shortages in Pakistan. Importantly, the project is based on the latest technology, Underground Coal Gasification (UCG), which minimizes atmospheric damage while producing electricity.
In the Second Phase of CPEC, both countries are concerned about environmental aspects. While the partnership between China and Pakistan is prominent in government-to-government (G-to-G) and government-to-business (G-to-B) contexts, it should also incorporate climate-friendly activities that engage all stakeholders. However, both countries are actively contributing to global climate solutions by implementing renewable energy projects, enhancing energy efficiency, and promoting eco-friendly practices.
The writer is a senior journalist, former fellow of ICFJ, and PhD from Tsinghua University. He can be reached at [email protected].