ISLAMABAD (APP) - The Asian Development Bank (ADB) and Pakistan here on Thursday signed an agreement to invest $40 million in energy efficient and cost-effective compact fluorescent lamps (CFLs). The agreement was signed by Secretary Economic Affairs Division (EAD), Sibtain Fazal Halim and ADB Country Director, Rune Strome. The investment is part of $1.18b Energy Efficiency Investment Programme that underpins Pakistans efforts to address energy security and efficiency. In 2009, the bank approved a multi-tranche financing facility of $780m to invest in priority energy efficiency projects that would help Pakistan overcome the pressing energy needs. The facility, which will release funds in tranches, will finance short to medium term projects including thermal power plant rehabilitation, industrial energy efficiency credit line, public and commercial building energy efficiency retrofits and residential lighting and appliance replacement. The national CFL project aims to distribute 30 million high-quality savers to residential customers in Pakistan free of charge, a largest distribution of its kind in the world. ADB would extend $760 million in loans from its ordinary capital resources while it would provide further $20 million from its Concessional Asian Development Fund. Cofinancing equivalent to Euro 150 million will be provided by Agence Francaise de Development while the government and utility companies would finance $200 million. Speaking on the occasion, EAD Secretary said that this project would accelerate CFLs market penetration and would result in around 1,131 MW reduction in the evening peak electricity demand. The ADB Country Director said that energy efficiency was a strategic priority and a quickest way of bridging the energy gap.