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Fost-Rules and Regulations

The Fongreen Silicon Technologies Limited (Fost) Renewable Energy initiative aims to establish a self-sustaining renewable energy ecosystem in Pakistan, focusing on manufacturing, R&D, and large-scale green energy. It includes a comprehensive Renewable Technology Zone (FRTZ) with dedicated clusters for data centers, electric vehicle manufacturing, solar panel production, and a large-scale solar park, all compliant with international standards. The initiative also offers incentives for investors and mandates sustainability targets to drive economic growth and position Pakistan as a regional leader in renewable energy technology.

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0% found this document useful (0 votes)
31 views9 pages

Fost-Rules and Regulations

The Fongreen Silicon Technologies Limited (Fost) Renewable Energy initiative aims to establish a self-sustaining renewable energy ecosystem in Pakistan, focusing on manufacturing, R&D, and large-scale green energy. It includes a comprehensive Renewable Technology Zone (FRTZ) with dedicated clusters for data centers, electric vehicle manufacturing, solar panel production, and a large-scale solar park, all compliant with international standards. The initiative also offers incentives for investors and mandates sustainability targets to drive economic growth and position Pakistan as a regional leader in renewable energy technology.

Uploaded by

kaleem ahmed
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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1. Purpose

The Fongreen Silicon Technologies Limited (Fost) Renewable Energy is


a flagship initiative under the Foundation Renewable Technology Zone
(FRTZ), designed to:

1.1 Pioneer Pakistan’s Green Industrial Revolution by establishing


a self-sustaining renewable energy ecosystem comprising
manufacturing, R&D, and large-scale green energy.

1.2 Position Pakistan as a Regional Leader in renewable energy


technology, attracting global investments and fostering innovation
in solar energy, electric mobility, and green data solutions.

1.3 Drive Economic Growth & Employment through localized


manufacturing, skill development, and technology transfer in the
renewable energy sector.

2. Scope

The FRTZ is a comprehensive green energy hub with dedicated clusters


for:

2.1 National Data Center

2.1.1 A state-of-the-art, solar-powered data center to support


Pakistan’s digital economy while minimizing carbon footprint.

2.1.2 100% renewable energy-powered, with backup energy storage


(lithium-ion/flow batteries).

2.1.3 Compliant with international data security and energy efficiency


standards (e.g., LEED certification).
2

2.2 Electric Vehicles (EV) Manufacturing Plant

2.2.1 Production of EVs, charging stations, and lithium-ion


batteries to support Pakistan’s National Electric Vehicle Policy
(NEVP).

2.2.2 Mandated localized component manufacturing to boost


domestic industry.

2.2.3 Integration with FRTZ’s solar microgrid for clean energy supply.

2.3 Solar Panels & Component Manufacturing

2.3.1 End-to-end solar panel production (polysilicon, PV cells,


modules) to reduce import dependency.

2.3.2 Export-oriented manufacturing with incentives for foreign


investors.

2.3.3 Compliance with International Electrotechnical Commission


(IEC) standards.

2.4 Large-Scale Solar Park

2.4.1 500MW+ grid-connected solar farm to power FRTZ industries.

2.4.2 Hybrid renewable integration (solar + wind + storage) for


optimal efficiency.
3

2.5 Supporting Infrastructure & Policies

2.5.1 Smart Microgrid: Optimized energy distribution for FRTZ


tenants.

2.5.2 Circular Economy Practices: Mandatory recycling of solar panel


waste, EV batteries, and e-waste.

2.5.3 Green Financing: Access to SBP’s Renewable Energy


Financing Scheme for zone investors.

3. Governance & Compliance

3.1 Regulatory Oversight:


3.1.1 FRTZ Authority (master planning, incentives, compliance).
3.1.2 Sindh EPA (environmental impact assessments).

3.2 STZA (technology zone policies).

3.3 Mandatory Sustainability Targets: Net-zero emissions

4. Incentives for Investors

4.2 Tax holidays (5–10 years for EV/solar manufacturers).

4.3 Duty-free import of renewable energy machinery.

5.4 Fast-tracked approvals via single-window facilitation.


4

5. Prohibited Activities

5.1 Non-recyclable waste dumping.

5.2 Non-compliance with ESG reporting.

Fongreen Renewable Energy Technology Zone (FRTZ) - Rules and


Regulations

Article 1: General Provisions


1.1 These regulations govern all operations within FRTZ, Thatta, Sindh
1.2 All entities must comply with Pakistan's Renewable Energy Policy,
5

STZA guidelines, and Sindh Environmental Protection Act


1.3 The FRTZ Authority shall serve as the governing body

Article 2: Land Use and Allocation


2.1 Priority allocation for:

 Solar panel manufacturing facilities

 EV production plants

 Green data centers

 Renewable energy R&D centers

2.2 Land lease terms:

 Initial 20-year lease, renewable for 10-year periods

 Minimum 60% land utilization for core renewable energy activities

Article 3: Energy Requirements


3.1 Mandatory renewable energy usage:

 50% by 2026

 75% by 2029

 100% by 2032

3.2 Solar park operators must maintain:

 Minimum 85% annual capacity utilization

 Grid integration compliance with NTDC standards


6

Article 4: Manufacturing Standards


4.1 Solar panel manufacturers must:

 Achieve minimum 22% panel efficiency

 Provide 10-year performance warranty

 Establish recycling program for end-of-life panels

4.2 EV manufacturers must:

 Localize minimum 40% components by 2027

 Establish battery recycling facilities

 Comply with EURO 6 emission standards for hybrid models

Article 5: Data Center Operations


5.1 Green data centers must:

 Maintain PUE (Power Usage Effectiveness) ≤ 1.3

 Use 100% renewable energy

 Implement liquid cooling systems where applicable

5.2 Data security:

 Comply with Pakistan Data Protection Act

 Maintain Tier III+ uptime standards

Article 6: Environmental Compliance


6.1 Waste management:

 Zero liquid discharge policy


7

 90% construction waste recycling

 Hazardous waste processing as per EPA guidelines

6.2 Carbon emissions:

 Mandatory quarterly carbon audits

 Carbon offset program for unavoidable emissions

Article 7: Incentives and Penalties


7.1 Incentives:

 5-year tax holiday for priority sectors

 Duty-free import of renewable energy equipment

 50% subsidy on land for R&D facilities

7.2 Penalties:

 1st violation: Warning and corrective order

 2nd violation: Fine up to 5% of annual turnover

 3rd violation: Lease termination

Article 8: Monitoring and Reporting


8.1 Quarterly reporting required on:

 Energy production/consumption

 Manufacturing output

 Environmental impact
8

8.2 Annual third-party audits mandatory for:

 Financial operations

 Environmental compliance

 Technology standards

Article 9: Dispute Resolution


9.1 Mediation through FRTZ Authority
9.2 Arbitration under Pakistan Arbitration Act
9.3 Final jurisdiction at Sindh High Court

Article 10: Amendments


10.1 Proposed amendments require:

 60-day public consultation

 STZA approval

 Sindh Cabinet endorsement

Effective Date: These regulations come into force immediately upon


publication in the Sindh Government Gazette.

Compliance Certification: All entities must obtain FRTZ Compliance


Certificate within 6 months of commencement.

Annexures:
A. Technical Specifications for Solar Manufacturing
B. EV Production Standards
C. Data Center Operational Guidelines
D. Environmental Compliance Checklist
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This framework establishes FRTZ as Pakistan's premier renewable energy


hub while ensuring sustainable development and technological
advancement.

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