World Bank gives $300m to improve air quality

Express Tribune

29-03-2025

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The World Bank has approved a $300 million, or Rs84 billion, loan for the government of Punjab to help it improve air quality by replacing fossil fuel-driven buses and trucks, and reducing straw burning in farms, which will mitigate smog in Indian and Pakistani cities.
The lending has been approved by the board of the World Bank under the Punjab Clean Air Programme (PCAP) to strengthen air quality management and combat air pollution, according to a statement from the Washington-based lender. The PCAP will support the government of Punjab's Smog Mitigation Action Plan (SMAP) by tackling the pressing issue of smog and air pollution with the launch of several comprehensive initiatives aimed at improving air quality and public health, particularly in key sectors such as transport, agriculture, industry, energy and municipal services, it said.
The loan will be utilised to reduce particulate matter below 2.5 micron (PM2.5) concentration in greater Lahore and to also reduce the trans-boundary impact on PM2.5 concentration in India, according to the World Bank.
Pakistan and India can cooperate in climate management, however, the relations remain tense after the unilateral change in the status of Jammu & Kashmir by India in violation of the United Nations Security Council resolutions.
The programme supports the province's smog mitigation plan and is a landmark initiative to significantly improve air quality and enhance the health and well-being of millions of residents, said Najy Benhassine, World Bank Country Director for Pakistan.
He said that cleaner air would reduce respiratory and cardiovascular diseases and contribute to a healthier, more livable environment. The loan is aimed at reducing PM2.5 levels by 35% over the next decade, significantly decreasing respiratory illnesses and other pollution-related health issues for the 13 million residents of Lahore Division.
The programme focuses on the continuation of strengthening air quality management (AQM) infrastructure, enhancing regulatory and institutional capacity, targeted sectoral abatement measures and promoting public awareness.
Key interventions include investment of 5,000 super seeders to reduce the main issue of excessive seasonal fog – crop residue burning, the introduction of 600 electric buses to foster a modal shift to public transport, the expansion of regulatory-grade air quality monitoring stations across Punjab, and the enhancement of fuel quality testing through the establishment of two new fuel testing laboratories, according to the lender.
The programme will be organised along three result areas – air quality management governance and awareness raising, transport sector abatement measures, and agriculture sector abatement measures.
World Bank documents state that major sectors responsible for air pollution in Punjab include industrial boilers operating on solid fuel, typically coal, without air pollution control technologies, power plants, brick kilns and steel melting and re-rolling mills.
In the transport sector, trucks and buses, two- and three-wheelers, and cars are the main contributors to PM2.5. In the agriculture sector, farmers burn straw and stubble on fields with citizens in cities such as Lahore affected by resulting smoke drifts. Domestic cooking is said to be the major source of smog in Punjab. The 2022 Country Climate and Development Report (CCDR) highlights Pakistan's severe climate vulnerability, ranking it among the top 10 most affected countries. Frequent droughts, floods, heat waves, and risks to coastal cities like Karachi from sea level rise and erosion increase development challenges and could reduce GDP by 18-20% annually by 2050.
In Pakistan, Bangladesh, India, and Nepal, between 93% and 97% of the population are exposed to hazardous air pollution.
Fine particulate matter below 2.5 microns (PM2.5) can be inhaled through the lungs and is the most significant contributor to the public health burden associated with air pollution. Ambient PM2.5 concentrations in Punjab range widely, with 24-hour averages over 300-400 µg/m3 observed in Lahore during acute episodes. Annual average concentrations of 110-130 µg/m3 have been measured in central Lahore.
The World Bank said that residential cooking is the highest sectoral contributor to ambient air pollution. Traditional cook stoves, which cause both household and ambient air pollution, need to be progressively replaced, it added. Road transport is the second highest sectoral contributor to air pollution, with emissions set to increase without concerted action.
Out of the $300 million, $245 million will be used for transport sector abatement measures by expanding mass transit and off-roading aged, polluting vehicles. This is to incentivise the deployment of around 400 electric buses in Lahore, and supporting infrastructure like depots, charging facilities, bus stops and street improvements.
Some $20 million will be spent to incentivise abatement measures in the agriculture sector.