Punjab allocates Rs4.3 bln for energy sector in FY 2026-27 budget

LAHORE, (APP - UrduPoint / Pakistan Point News - 16th Jun, 2026) The Punjab government has proposed an allocation of Rs 4.3 billion for the energy sector in the provincial budget for the fiscal year 2026-27, aiming to promote clean energy initiatives and environmentally sustainable development across the province.

According to official budget documents, a key portion of the allocation has been directed towards climate-friendly and renewable energy projects designed to reduce carbon emissions and improve energy efficiency in public infrastructure.

An amount of Rs100 million has been earmarked for the establishment of a Carbon Dioxide (CO2) Capture Plant at Gujjar Colony in Lahore. The project is aimed at supporting environmental protection efforts by reducing industrial and urban carbon emissions.

Officials said the CO2 capture initiative is part of the government’s broader strategy to address climate change challenges and introduce modern environmental technologies in urban centers such as .

In addition, Rs200 million has been allocated for the installation of solar energy systems in government buildings across the province. The initiative is expected to reduce dependence on conventional energy sources and lower electricity costs in the public sector.

The solarization project will contribute to promoting renewable energy adoption and improving energy efficiency in public offices, hospitals, and other government facilities.

Energy sector experts believe that these initiatives will play an important role in advancing Punjab’s transition towards sustainable energy solutions and reducing its overall carbon footprint.