This Institute was established as Centre for Coal Technology with the funds of worth Rs. 13.408 million and Rs. 34.390 million in the years 2004 & 2006 from HEC, respectively and further upgraded with HEC grant of Rs. 182.79 million in the year 2015. Later, this Centre was transformed into Institute of Energy & Environmental Engineering in 2020, under Public Sector Development Project (PSDP) scheme entitled as, "Strengthening of Academic and Research Programs at University of the Punjab" with the grant of Rs. 976.530 million. This Institute can be claimed as one of the leading institutes of energy and environmental engineering in South Asia, offering state of the art analytical and pilot scale experimental facilities under one roof and having vibrant faculty. Previously, the Institute has provided technical feasibility expertise to the Government of Punjab for the establishment of following power projects at national level:

1.	Punjab Power Development Company, Government of the Punjab, 660×2 MW coal-based power plant at Qadar Abad - Sahiwal District, Punjab.
2.	M/s Electro Power Generation Pvt. Ltd. 50 MW coal-based power plant at Kalar Kahar, Distt. Chakwal.
3.	M/s Saba Power Generation Company Pvt. Ltd. 50 MW coal-based power plant at Kattha Sugral, Distt. Khushab.
4.	M/s Noble Power Generation Company Pvt. Ltd. 50 MW coal-based power plant at Mauza Dharabi, Tehsil Tala Gang, Distt. Chakwal.
5.	M/s Malakwal Power Pvt. Ltd. 50 MW coal-based power plant at Vareena Distt. Mandi Bahuddin.
6.	Punjab Power Development Company, Government of the Punjab, 110 MW coal-based power plant near Industrial Estates, Sundar, Lahore.
7.	Punjab Power Development Company, Government of the Punjab, 110 MW coal-based power plant near M-3 Industrial City, Faisalabad.
8.	2×660 MW coal-based power plant at Rahim Yar Khan by Nishat group and Shanghai Electric Company, China.
9.	2×660 MW coal-fired power project at Balloki, Kasur by M/s. China Gezhouba Group Co., Ltd.
10.	Punjab Power Development Company Limited, Government of the Punjab, 150 MW coal-based power plant at Sialkot.
11.	Punjab Power Development Company Limited, Government of the Punjab, 150 MW coal-based power plant at Faisalabad.
12.	Punjab Power Development Company Limited, Government of the Punjab, 150 MW coal-based power plant at Multan.
13.	Punjab Power Development Company Limited, Government of the Punjab, 150 MW coal-based power plant at Lahore.
14.	30 MW waste-to-energy power plant at Lakhodair site Lahore undertaken by Lahore Waste Management Company (LWMC).
In addition to evaluation of technical feasibility studies, the Institute provided testing facility to the Punjab Government for the re-evaluation and re-estimation of the Punjab coal reserves. The Institute is also providing free consultancy services to the private enterprises for; gasification, coal cleaning, coal fired electricity generation, domestic utilization of coal, substitution of furnace oil/natural gas by coal in the industrial sector, transfer of technology from the developed/developing countries to Pakistan and the spread of knowledge, experience, and skills to public within the country by integrating results on indigenous energy sources. The Institute is also providing analytical testing services at the cheapest rates to the academia, research institutions, and industry.
The human resource produced by the Institute is fully capable to handle operation of power plants and their associated laboratories which are being setup throughout the country. Furthermore, with the success of offered academic programs, the Institute would be able to produce highly skilled and trained manpower in the disciplines of energy engineering, environmental engineering, risk and reliability engineering, sustainability, energy economics and policy, environmental law, energy auditing, and conservation. The Institute will not only provide professional engineers and technologists to the country in aforementioned areas but also provide policy guidelines to the Government in energy, economics, strategy, energy security, and climate change.
The Institute has targeted to establish an "Energy Engineering Research & Development Center" that will perform R & D activities hand in hand with the Institute to get tangible outcomes on issues of national and industrial importance. Keeping in view the expertise of the faculty members, the Institute is also planning to establish the following divisions:
1.	Clean Coal Division
2.	Renewable Energy Division
3.	Energy Efficiency and Conservation Division
4.	Energy Storage Division
5.	Waste to Energy Division
6.	Pollution Control Division
7.	Energy and Environmental Policy Division
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	General Guidelines for Entry Test 2020 (PhD Energy Engineering)
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