Dear Readers, We had the pleasure of speaking with Mr. Ghulam Hussain Agha, General Manager of Business Development at Pak Suzuki Motors. As Pakistan looks toward cleaner and more sustainable mobility solutions, biofuels and Bio-CNG are becoming key topics of discussion.
In this conversation, we’ll explore what inspired Mr. Agha to advocate for biofuels in Pakistan, how Pak Suzuki Motors is aligning with national and global carbon neutrality goals, and his long-term vision for Bio-CNG adoption in the automotive sector. We’ll also touch on the environmental impact of these initiatives, including how methane emissions from cattle can be managed, and discuss the economic opportunities and business models that can encourage private sector investment in biogas plants and refueling infrastructure.
- What inspired you to advocate for biofuels as a sustainable mobility solution in Pakistan?
Foremost, we are driven by our principal; Suzuki Motor Corporation’s Vision which is to be an infrastructural mobility Company connected to peoples lives.
Secondly, Fact is Pakistan has a large rural population est. 65% out of which 60% are involved in agriculture economy which contributes around 1/4th to our GDP. Rural population has no Natural gas for cooking, heating and power generation. Pakistan ranks 7th in world cattle population. If this indigenous freely available cattle feedstock is availed for fulfilling energy needs of rural population; not only their standard of living will upgrade but also their net contribution to GDP will increase which will add to overall economic progress. So, Biogas/Biofuel is perfect development economics solution.
Thirdly our inspiration is that Biogas generation has massive the Co2e reduction impact resulting in Environmental upgradation.
2. How does Pak Suzuki Motors plan to align with Pakistan’s carbon neutrality goals and the UNFCCC commitments?
Pakistan is a signatory to environmental goals by commitment of national determined contribution under UNFCC to achieve overall CO2e footprint reduction to 15% (w/o condition) by 2030.
We estimate that by 2040, 9,000 biofuel plants can significantly reduce CO2e Annual national emissions by 20% up to 44 m tCO2e; (Pak.Nat. Annual consumption=225m tCOe)
3. What is your long-term vision for Bio-CNG adoption in Pakistan’s automotive sector?
We estimate that by 2040; 9,000 bio fuel plants will provide clean green BioCNG for 1.8 million vehicles; reducing our Forex Oil import bill by 10%.
Environmental Impact & Carbon Neutrality
4. Can you elaborate on the carbon reduction potential of Bio-CNG compared to traditional fuels and EVs?
BioFuel or BioCNG has low Co2e footprint; 75% against Diesel, 125% against LPG, 30%-70% against fossil fuels
5. How do cattle-related methane emissions factor into your carbon neutrality strategy?
Cattles are responsible for 7% of Global GREENHOUSE Gas Emission!!
Global Warming Potential of Methane (CH4 ) is 28 x times more than Carbon dioxide
i.e. simply put; 1 ton of methane/cow dung discarded near villages /cattle farms exudes
28 tons of CO2e in environment which is a devastating impact on environment.
6. What role do carbon credits play in your business development strategy?
Carbon Credits not only are potential big source of forex earnings for the country. Sindh Govt already taken a lead in Delta Blue Project where 3m CC sold in international voluntary markets earning $40 million. This is just tip of ice berg!
But the biggest advantage / role CC can play is motivating the Private sector not only to invest in plants and earn but contribute to Environment by reduction in CO2e as a bigger objective.
Economic & Business Development
7. How can biofuel adoption help reduce Pakistan’s trade deficit and forex outflows?
As already indicated, natural gas reserves are gradually depleting and Oil/petrol imports + LNG imports (est.40% of total) are massive burden on forex reserves.
It is estimated that if concerted efforts in biofuel policy and infrastructure development are harnessed by Government; by 2030, 1500 plants can result in forex savings of $270 m. Further, by 2040, 9,000 plants can cause $1.67 bn SAVINGS (which is 10% of oil import bill) to our national exchequer.
8. What business models do you foresee for private sector investment in biogas plants and refueling stations?
Private Sector has great opportunity in this untapped sector.
As happened in other countries; in first 2-3 years; a big technologically and financially sound business enterprise like Pak Suzuki leads Prototype Business Model by setting up state of the art Biofuel plant.
GoP to establish POLICY FRAMEWORK
Govt. and private Sector: Nos. of plants, CNG Stations Revival plan may be conceived,
3-7 years (mod-term) is the start of TECHNOLOGY GROWTH which Enable entrepreneurs to build Biogas plants.
- GoP lease land on fav.terms to Private entrepreneurs, subsidize all CBG plants with subsidy or Financial assistance, Banks to offer special lending rates under green financing.
- Revival of CNG stations/ massive employ. generation
Example: As an idea, not only 3,500 closed stations can be operationalized and made profitable but the 40,000 to 50,000 employment can be generated.
Long term; between 7-10 years; saturation occurs where in this critical stage: if Gov to EXTEND construction of biogas plants/ stations Foremost need consistency in Govt. policies, tax break, low interest loans investors
Further, Organic fertilizer has vast demand potential in increasing productivity and huge Savings for farmer vs. synthetic fertilizers.
So, the business model feasibility of Biofuel encompasses Bio fertilizer revenue as well.
9.How does Pak Suzuki plan to support rural development through biofuel initiatives?
The rural population segment is deprived of natural gas; using Firewood (resulting in massive de-forestation), untreated cow dung and hazardous LPG (high Sulphur content) for their personal consumption.
These alternative to NG have long terms hazardous impacts on population.
BioCNG is the local FOC available source generated clean, green fuel.
PS plan to empower rural lives through job creation; improving living standards and income of rural population.
Just fyi;
Bio Fuel will results in in est. Rs.250.000/- annual savings to single famer in farm to road transport.
Bio fertilizer will result in est.3.5 million annual savings per 100 acres which is huge savings for farmers.
Automotive Integration
10. Is Pak Suzuki exploring vehicle models optimized for Bio-CNG?
Pakistanis have great adaptability and understanding of alternative fuel.
It is evident from fact that from 2002 to 2014; Pak Suzuki sold 590,000 vehicles
And due to demand 80% vehicles manufactured were CNG factory fitted vehicles.
Even global player; Landi Ranzo set up factory in Bin Qasim area.
So; supported by Govt. policy; PS is looking forward for producing CNG factory fitted vehicles with hybrid option; BioCNG and Petrol vehicle.
11. How feasible is retrofitting existing CNG vehicles to run on Bio-CNG without modification?
CNG and BIO-CNG are perfectly complementary fuels and lighter than air.
BioCNG requires no modification in CNG factory fitted kit as well as engine.
We already successfully tested vehicles and are satisfied with smooth performance of engine and running of vehicle.
12. What challenges do you anticipate in scaling Bio-CNG infrastructure nationwide?
As a matter of fact; 3.500 CNG stations are closed.
We got a survey conducted from reputable research firm where 50 CNG station owners were visited.
Results were very positive. More then Over 90% CNG station owners show willingness to restart Bio CNG ops. Govt Policy requirement identified as a key Challenge for INVESTOR CONFIDENCE. So we need Bio CNG policy framework
Global Trends & Benchmarking
13. What lessons can Pakistan learn from India, Thailand, and European countries in biogas adoption?
In India: Prime Minister inaugurated the Asia’s largest public private Bio-CNG plant in 2024 where 400 public buses are being run on Bio-CNG
The Govt at national level has launched concerted schemes to utilize this indigenous clean fuel advantage as well support and attract investors in biogas/biofuel technology development.
SATAT: Large nos. of plants established under SATAT (Sustainable Alternative towards Affordable Transportation- loan subsidy scheme)
75 plants already operational, LoI issued for 2,212 plants, Govt. to ensure a guaranteed offtake price and encouraging commercial partnerships with Oil & Gas marketing companies.
- Viable projects under SATAT are eligible for loans up to 75% of the project cost.
WTE: The Govt.under the Min of Renewable energy has established “Waste to Energy Funds” under National Bio Energy program for providing central financial assistance to build Biofuel plants:
In Thailand:
- Currently 1,788 biogas plants;
- Govt. through the Ministry of Energy is promoting the use of Compressed Biogas to replace NGV under the “Biomethane Promotion Strategic Plan Project for Commercial Energy Use”.
- Bio-Energy Conservation fund of up to 20% to 30% of CAPEX is provided by Govt. for building Biomethane plants based on different capacity levels.
European countries:
Already taken lead and now policies are pushing the sector to increase sustainability and reduce biogas production costs.
Germany is at the top with10,000 plants followed by France 1,600 plants and UK with 700 plants,
Policy & Government Engagement
14. What kind of policy framework do you believe is necessary to accelerate biofuel adoption?
Together with Government of Pakistan we need to formulate Biogas/Biofuel policy and investment infrastructure.
Foremost; is forming working group of ministries/committee for biogas/bio-cng
policy framework.
Once policy guidelines are established, Pak Suzuki model biofuel/biofertilizer plant will serve as catalyst for private sector investment; resulting in massive socio-economic, employment generation, rural empowerment. Above all oil import forex savings will result in reducing Trade deficit in coming years.
15. How can public-private partnerships be leveraged to build biogas infrastructure?
Pakistan geographically is endowed with river Indus cascading from Karakoram mountains inj North to Arabian Sea in South. Fortunately; cattle farms sprawl along the river indus from North to South.
The Govt. Revenue departments in each province particularly cattle rich districts of Punjab Province own lands near major cattle colonies.
Pak Suzuki sees this an ideal opportunity to Support Govt. through Public Private partnerships by converting “Waste to Energy” through a Structured “Nation-wide/Province wide Bio Energy program”.
This would also propel rural employment generation and improve socio-economic condition of farmers through Organic Fertilizer which will enhance farm productivity and save forex by reduction in imports of Fertilizer
16. What role should the government play in incentivizing biofuel production and usage?
Govt. can allocate Land for setting up Biogas plants.
Provision of basic utilities infrastructure; water, sewage, Electricity and others
Facilitation for relevant Provincial authorities/ dept. to provide seamless delivery in obtaining Licenses, registrations, NoCs, Approvals
Govt. can also create a Program fund for financial assistance to private entrepreneur setting up Bioenergy plant.
Govt. can provide income tax relief and subsidy in taxes for setting up bioenergy plants and / or setting up reviving of CNG gas stations
Govt. can guarantee offtake of Biofuel by OMC and also organic Fertilizer sales through Private Fertilizer distribution networks.
This exclusive conversation has been published in Automark’s November-2025 printed edition, by @hawwa-fazal
