EU Carbon Taxes Threaten Pakistan’s Exports, Experts Advocate for Equitable Energy Transition

EU-Carbon

KARACHI: Experts have warned that Pakistan’s reliance on fossil fuel-based electricity generation, particularly coal, could jeopardize its exports to European Union (EU) countries as new carbon taxation measures take effect.

The warning came during an event co-hosted by the Policy Research Institute for Equitable Development (PRIED) and the Institute for Climate and Sustainable Cities (ICSC), which explored the socio-economic and environmental impacts of energy projects in Pakistan’s Tharparkar district and the Philippines’ eastern Visayas region.

Dr. Khalid Waleed, an energy economist, highlighted that Pakistan’s coal dependency poses significant risks to EU exports, urging collaboration among affected communities, local governments, and industries to achieve a fair and inclusive energy transition.

Rimsha Rehan, an energy finance analyst, detailed the devastating consequences of coal mining in Tharparkar, including livelihood losses, environmental degradation, and severe health risks, especially for women and children. “Women and children must be central to decision-making for phasing out coal and transitioning to renewables,” Rehan emphasized.

Philippine environmental justice activist Lidy Nacpil called for massive financial support from the Global North to aid the Global South in mitigating climate change and addressing its consequences. “Trillions, not billions, are owed to the Global South for climate adaptation, mitigation, and loss and damage compensation,” Nacpil stated.

Participants also discussed the importance of localized climate action, with Philippine government official Michael Sinocruz advocating for awareness campaigns, alternative livelihoods, and international funding to build climate-resilient communities.

The event concluded with the Alliance for Climate Justice and Clean Energy (ACJCE) presenting a charter of demands, stressing the need to empower subnational actors and grassroots organizations to drive sustainable energy policies and promote a just transition to renewable energy sources.

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