Pakistan allocates 2,000 MW to AI data centres and Bitcoin mining operations

The Pakistani government is releasing 2,000 megawatts of power to support the development of data centres focused on artificial intelligence and Bitcoin mining, as part of a strategy to attract foreign investment.

Share:

Comprehensive energy news coverage, updated nonstop

Annual subscription

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access • Archives included • Professional invoice

OTHER ACCESS OPTIONS

Monthly subscription

Unlimited access • Archives included

5.2$/month*
then 14.90$ per month thereafter

FREE ACCOUNT

3 articles offered per month

FREE

*Prices are excluding VAT, which may vary depending on your location or professional status

Since 2021: 35,000 articles • 150+ analyses per week

The Government of Pakistan has announced the allocation of 2,000 megawatts (MW) of electricity to power the first phase of a national plan aimed at establishing artificial intelligence (AI) data centres and Bitcoin mining farms. This initiative, led by the Pakistan Crypto Council (PCC), forms part of a broader effort to monetise the country’s surplus electricity and stimulate foreign direct investment.

A new energy orientation to attract capital

The decision comes after the recent legalisation of cryptocurrencies in the country. The PCC, a body backed by the Ministry of Finance, was created to oversee the integration of blockchain technologies and digital assets into Pakistan’s economy. According to an official statement, the programme aims to “monetise unused energy, create high-value jobs, attract billions of dollars in foreign direct investment, and increase public revenues.”

Several international companies specialising in data centres and cryptocurrency mining have already expressed interest in the project. Some have conducted exploratory visits, with additional delegations expected in the coming weeks.

Redirecting excess capacity into digital assets

Data centres and mining facilities are energy-intensive by nature, and their deployment enables the redirection of currently underused electricity, particularly from plants operating below capacity. PCC Director General Bilal Bin Saqib, appointed senior adviser to the Finance Minister, stated that this approach could convert a longstanding financial liability into a source of revenue denominated in US dollars.

The digital infrastructure initiative is further supported by improved connectivity, notably with the landing of the Africa-2 undersea cable in Pakistan. The 45,000-kilometre network links 33 countries via 46 landing stations, significantly enhancing the bandwidth, latency and resilience of the national internet network.

A strategic position in a constrained global market

Pakistan aims to capitalise on the current pressure in the global data processing capacity market, where AI data centre demand exceeds 100 gigawatts (GW), while supply is estimated at only 15 GW. Compared to countries like India and Singapore — where energy costs and land scarcity hinder expansion — Pakistan offers a stable, available and low-cost energy environment.

The government also plans to implement fiscal incentives such as customs duty exemptions on imported equipment and tax breaks for AI infrastructure developers. Future phases of the programme may include facilities powered by renewable energy sources, including wind (with 50,000 MW of potential in the Gharo-Keti Bandar corridor), solar and hydropower.

A key scientific report by the United Nations Environment Programme failed to gain state approval due to deep divisions over fossil fuels and other sensitive issues.
RTE warns of France’s delay in electrifying energy uses, a key step to limiting fossil fuel imports and supporting its reindustrialisation strategy.
India’s central authority has cancelled 6.3 GW of grid connections for renewable projects since 2022, marking a tightening of regulations and a shift in responsibility back to developers.
The Brazilian government has been instructed to define within two months a plan for the gradual reduction of fossil fuels, supported by a national energy transition fund financed by oil revenues.
The German government may miss the January 2026 deadline to transpose the RED III directive, creating uncertainty over biofuel mandates and disrupting markets.
Italy allocated 82% of the proposed solar and wind capacities in the Fer-X auction, totalling 8.6GW, with competitive purchase prices and a strong concentration of projects in the southern part of the country.
Amid rising public spending, the French government has tasked two experts with reassessing the support scheme for renewable electricity and storage, with proposals expected within three months.
National operator PSE partners with armed forces to protect transformer stations as critical infrastructure faces sabotage linked to foreign interference.
The Norwegian government establishes a commission to anticipate the decline of hydrocarbons and assess economic options for the country in the coming decades.
Kazakhstan plans to allocate 3 GW of wind and solar projects by the end of 2026 through public tenders, with a first 1 GW tranche in 2025, amid efforts to modernise its power system.
Hurricanes Beryl, Helene and Milton accounted for 80% of electricity outages recorded in 2024, marking a ten-year high according to federal data.
The French Energy Regulatory Commission introduces a temporary prudential control on gas and electricity suppliers through a “guichet à blanc” opening in December, pending the transposition of European rules.
The Carney–Smith agreement launches a new pipeline to Asia, removes oil and gas emission caps, and initiates reform of the Pacific north coast tanker ban.
The gradual exit from CfD contracts is turning stable assets into infrastructures exposed to higher volatility, challenging expected returns and traditional financing models for the renewable sector.
The Canadian government introduces major legislative changes to the Energy Efficiency Act to support its national strategy and adapt to the realities of digital commerce.
Quebec becomes the only Canadian province where a carbon price still applies directly to fuels, as Ottawa eliminated the public-facing carbon tax in April 2025.
New Delhi launches a 72.8 bn INR incentive plan to build a 6,000-tonne domestic capacity for permanent magnets, amid rising Chinese export restrictions on critical components.
The rise of CfDs, PPAs and capacity mechanisms signals a structural shift: markets alone no longer cover 10–30-year financing needs, while spot prices have surged 400% in Europe since 2019.
Germany plans to finalise the €5.8bn ($6.34bn) purchase of a 25.1% stake in TenneT Germany to strengthen its control over critical national power grid infrastructure.
The Ghanaian government is implementing a reform of its energy system focused on increasing the use of local natural gas, aiming to reduce electricity production costs and limit the sector's financial imbalance.

All the latest energy news, all the time

Annual subscription

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access - Archives included - Pro invoice

Monthly subscription

Unlimited access • Archives included

5.2$/month*
then 14.90$ per month thereafter

*Prices shown are exclusive of VAT, which may vary according to your location or professional status.

Since 2021: 30,000 articles - +150 analyses/week.