Pakistan can spur social and economic development with renewables while increasing energy security and improving access, according to a new report by the International Renewable Energy Agency (Irena).

The report, entitled Renewables Readiness Assessment: Pakistan, provides an analysis of the country’s energy sector and identifies key actions needed to accelerate renewables deployment. It has been prepared in co-operation with the Government of Pakistan.

“Pakistan is undergoing rapid economic and industrial development, which in turn is fuelling strong energy demand growth across the country,” said Irena director-general Adnan Amin.

“To meet this demand Pakistan has a tremendous opportunity to cost-effectively tap its abundant solar, wind and hydropower resource potential. Doing so would support national prosperity and job creation, whilst enhancing security of supply, improving access and moving Pakistan towards greater energy independence.”

The assessment identifies 50GW of theoretical wind potential in Pakistan’s southern Sindh and Baluchistan provinces and estimates that 25 million tonnes of biomass feedstocks from industrial and agricultural residue can be made available for use every year.

While hydropower has traditionally been the most prominent source of renewables in Pakistan — making up almost a third of electricity generation with 7.1GW of installed grid-connected capacity — Irena’s assessment finds that the country has up to 60GW of economic and technical hydropower potential.

“Pakistan is rich in renewable energy potential, and can with this assessment develop policies, investment opportunities and energy development actions to harness it,” said Pakistan’s minister of state for power Abid Sher Ali.

“Critical to this report has been Irena’s valuable policy guidance and technical assistance to determine our best available renewable-based power options,” said Ali.

The report shows that the fall in solar photovoltaic (PV) technology costs has supported the sector’s growth in Pakistan, with 400MW of PV projects installed in 2015-2016, helping to create over 15,500 local jobs.

With more than half of Pakistan’s total population residing in rural areas, millions remain reliant on traditional biomass use. Among Pakistan’s rural population, only half have access to electricity.

Irena’s assessment presents options for Pakistan to strengthen its policy, regulatory and institutional framework in order to accelerate renewables deployment.

The report finds key challenges are: setting a target for renewables development; coordinating the development and implementation of an integrated energy plan; encouraging renewables zoning and competitive procurement; and developing policy and regulation to involve the private sector in rural electrification.