Many of us consider industrialisation an essentially polluting enterprise that must be cautiously planned and executed. Environmental considerations, compliance with production regulations as well as strict follow-up with health and safety procedures are a norm when one approaches the conventional industrial processes.

But over time, green industrialisation has become an anticipated reality. Its existence, performance and outputs are more than visible in many industrialised and developing countries.

United Nations Conference on Trade and Development (UNCTAD) and Social Protection Resource Centre (SPRC) organised a conference on the theme of green industrialisation in Pakistan, focusing on integrated policy strategies for a sustainable future during 17-18 October 2023 in Islamabad. Many important thematic issues were deliberated, which included constraints impacting green industrialisation, sectoral challenges, especially in transport, agriculture and textiles and options for benefiting better from international climate finance.

It was noted that Pakistan is one of the most climate change-affected countries despite its minimal contribution to global pollution, greenhouse gases and other similar factors. However, it was agreed that playing the victim would not bring relief to the most impacted stakeholders, including the poor and vulnerable communities.

Environmental rehabilitation and upliftment projects must be launched to help the country gain carbon credits

The country needs to effectively factor in the unpredictable consequences of climate change and make production processes robust and climate resilient. It was deliberated that agriculture must be treated as an industrial enterprise and should be planned and organised as such.

The preparedness for climate impacts in the agricultural sector includes ensuring ring-fencing of fields for two common extremes of droughts and torrential rains. Some mentions include proper siting, improving the drainage pattern of fields, articulating the road and highway design to present inundation and storing the excess water through targeted rainwater harvesting and replenishment of underground aquifers.

If we modify our road and highway designs so that water can flow underneath the road surface through properly designed culverts and drain pipes, enormous relief can be acquired for the farmers. The fact that many rain-affected locations in Sindh in 2022 remained inundated for weeks displays a commonly observed development flaw.

In the transport sector, the exponential rise in motor cars and motorcycles in cities and hinterlands is a source of enormous pollution and inefficiency. There is a high cost to mobility and unnecessary restrictions on the smooth operations of public transport wherever it exists.

A people-supported regulatory regime for motor cars and motorcycle operations is essentially required. Tools such as congestion taxes may be imposed in downtown areas. It also requires a lifestyle alteration. When the elite stop using their SUVs and luxury cars and opt for public transport, the masses shall certainly follow. Work trips must be made using public vehicles as preferred options. Sustainable mobility is a major contributing factor in achieving green industrialisation.

If electricity is generated more from renewable sources, the electric vehicles market will automatically pick up. Electrically powered buses, motorcycles and cars can gradually replace fossil fuel-driven vehicles in the cities.

Cheap renewable energy is the initial pre-requisite for green industrialisation. Wind and solar energy are the two common sources that Pakistan can greatly rely upon. With the potential of generating more than 40,000 megawatts through wind energy, the country can gradually replace thermal power plants.

Quaid-e-Azam Solar Park in Bahawalpur was to become the epitome of renewable energy in the country. However, it turned out otherwise. With a planned capacity of 1,000MW, it normally produces slightly over 300MW. It had a high capital and operational cost. The facility requires intense maintenance, being in the backyard of the Cholistan desert. It goes without saying that smart locational choices for solar and wind power are fundamental to generating cheap power that could be utilised for energy.

In addition, we must focus on the carbon credit market. Such environmental rehabilitation and upliftment projects must be launched that help the country gain carbon credits. Currently, only Sindh’s delta mangrove project is a carbon trading sales project with potential for further expansion. It fetched $40 million in carbon trading with an enormous possibility of further growth.

Export-oriented industrial enterprises must comply with numerous operational and environmental compliances. Many factories recycle water, utilise the heat energy from steam, optimise processes to become less water- and heat-intensive, and voluntarily submit to external performance audits by reputed international agencies.

The dilemma is that these best practices do not serve as an example for other enterprises as they become a business secret. Besides, no forum or medium is available where this vital knowledge and experience could be shared.

Another common observation is that more than half of the industrial establishments operate as informal enterprises. Most regulatory prescriptions are related to green production and ecologically compliant processes. Informal enterprises operate with minimum resources and shy away from audits and reviews.

Lowest-cost operations and outputs usually become the hallmark of such enterprises. The manpower is kept minimal and often violates normal working conditions. As the scale of such enterprises varies, it becomes difficult to formulate a uniform approach to deal with them concerning compliance with environmental prescriptions.

It is also found that influential people extend patronage and support to such enterprises. Thus, they get away without scrutiny and continue harming the surrounding environment. These enterprises are an inseparable component of our industrial production.

Such operations require incentive-driven upgradation, reform and transformation towards green energy options. Those enterprises that exist in dense city centres or the vicinity of busy industrial estates may be targeted for initial reform.

Studies inform that such enterprises have medium and large manufacturing units as close clientele. If the parent unit participates in the green transformation of these enterprises, the process could be effective and swift.

It is hoped that our policymakers will turn their attention towards this vast and dynamic sector of production by enabling them to cut carbon dioxide and other pollutants emissions for sustainable operations in the times to come.

The writer is an academic and researcher based in Karachi

Published in Dawn, The Business and Finance Weekly, October 23th, 2023