From Trash to Tech: Will Climate Entrepreneurs Find a Foothold in Pakistan?

Overview

As the climate crisis intensifies, the global focus on sustainability is shifting but not always in the right direction.

In the West, climate denial politics are resurfacing, with figures like Donald Trump dismissing the urgency of climate change. Meanwhile, shrinking climate funds and economic recalibrations suggest a potential retreat from green commitments.

Yet in Pakistan, a country contributing less than 1% to global emissions, climate entrepreneurship is quietly gaining momentum.

With low per capita emissions and limited industrialization, Pakistan’s environmental footprint remains small. But the stakes are high. As climate-related disasters grow more frequent, it’s clear: sustainability isn’t a luxury, it’s a necessity.

A New Wave of Green Startups

Despite limited resources, Pakistani entrepreneurs are stepping up with innovative climate solutions across sectors:

• Sustainable Mobility: Startups like Zyp Technologies are developing electric vehicle mobility solutions.
• Circular Economy: IrVerde and TrashIt are tackling Pakistan’s waste crisis through recycling and upcycling.
• Waste Management: Pakistan generates roughly 49.6 million tons of solid waste per year.
• 80% of waste is mismanaged, startups are exploring tech-driven models for waste collection and segregation.

These ventures aren’t just solving environmental issues; they’re creating new economic pathways in a country plagued by high unemployment and underinvestment in tech.

Big Businesses Eye Startup Innovation

In a rare move, major power utility K-Electric (KE) has launched the Energy Progress & Innovation Challenge (EPIC 2025). This initiative aims to invite startups to help solve deeply entrenched energy sector problems, including:

• Energy theft
• Load management
• Predictive maintenance
• Renewable integration

While KE remains a dominant fossil fuel player in Karachi, its “30 by 30” vision to shift 30% of its energy mix to renewables by 2030 signals a pivot.

The EPIC 2025 initiative offers startups a platform to bring innovative, scalable solutions though execution remains the biggest challenge.

Meanwhile, ride-hailing provider inDrive has partnered with ezBike, electric retrofit kit providers, to help reduce its carbon footprint.

Challenges Holding Back Green Innovation

Climate startups in Pakistan face several key challenges:

• Funding Gaps: Climate startups lack access to tailored venture capital; global funds rarely reach early-stage ventures.
• Regulatory Hurdles: Vague or inconsistent policies around renewables, waste, and EV incentives stifle innovation.
• Infrastructure Bottlenecks: Unreliable grids and poor logistics hamper scale for energy and agritech ventures.
• Corporate Culture: Large players may struggle to integrate startup’s sustainable ideas into slow-moving systems.

Opportunities on the Horizon

Despite challenges, there are promising signs for climate-focused innovation in Pakistan:

• Private Capital: Investors like Sarmayacar’s Rabeel Warraich are launching climate-focused funds like Climaventures, with calls for tax breaks, subsidies, and PPPs to support startups.
• Localized Innovation:Homegrown solutions can outperform imported models, especially in flood-prone or underserved regions
• Green Jobs: Climate entrepreneurship could absorb youth unemployment and foster new skills in the green economy.

Future Outlook

Pakistan’s climate entrepreneurship scene is no longer just a fringe movement, it’s emerging as a crucial driver of economic resilience and sustainability. Initiatives like KE’s EPIC 2025, if executed well, could act as a catalyst for industry-wide transformation. With the right mix of policy, capital, and public-private collaboration, Pakistan could yet leapfrog into a greener future.