In order to step up the fight against climate change in Pakistan, the IFC is partnering with Engro Corporation to help reduce plastic waste, promote recycling, and boost the company’s energy efficiency.
Pakistan is the second-largest domestic market for plastics in South Asia after India, and among the top ten countries that are most impacted by climate change. The country produces about 30 million tons of solid waste annually, of which nine percent is plastic waste. Additionally, the Indus River is a major carrier of plastic waste into oceans.
The IFC’s climate advisory project will help Engro Corporation assess the opportunities for moving toward a circular plastics economy as it develops a $1.8 billion petrochemical project to produce polypropylene. The circular system will have polypropylene products collected and reused or recycled, and converted into viable products.
The IFC’s team will also assist Engro Corporation in driving sustainability by reducing its carbon and water footprints and adapting to climate-related risks through targeted interventions.
The President and CEO of Engro Corporation, Ghias Khan, said, “At Engro, we believe that operating businesses sustainably at a globally competitive level need not be a zero-sum game. Therefore, we are actively partnering with global leaders such as IFC for a circular plastics economy, resource efficiency, and carbon footprint reduction, to build a more sustainable future for our coming generations”.
The project is part of IFC’s Pakistan Resource Efficiency Program, which aims to improve efficiency, cost-competitiveness, reliability, and productivity in the manufacturing sector, particularly in energy-intensive industries.
The IFC’s Regional Vice-President for the Middle East, Central Asia, Turkey, Afghanistan, and Pakistan, Hela Cheikhrouhou, “Climate change is already impacting Pakistan and it’s crucial for companies to do everything they can to be efficient in their resource usage,” and added that “reusing plastics will not only cut greenhouse gas emissions and protect the environment, but will help companies save money and become more competitive internationally”.
Engro Corporation has been a strategic IFC client for nearly three decades. The IFC has supported Engro’s growth from an ammonia-based fertilizer producer to a conglomerate with interests mainly in polyvinyl chloride production, dairy, power generation, liquified petroleum gas storage and handling, liquefied natural gas regasification, telecom towers, and logistics.
