SHANGHAI - Visiting Pakistani Prime Minister Nawaz Sharif on Saturday said his government welcomes Chinese enterprises' participation in the energy development in Pakistan.

He said Pakistan will work to create safe and favorable environment for the investment.

Sharif made the remarks at a Sino-Pakistani energy forum held in Shanghai on Saturday.

Sharif said Pakistan is currently facing a severe shortage of energy, which has already impeded its economic recovery.

He said the new government of Pakistan would center on the economic development and expect Chinese companies to invest in the energy sector in Pakistan.

Sharif said the cooperation in energy sector would provide support for intensifying the comprehensive economic and trade cooperation between the two countries.

The two countries have decided to set up a special work team on energy to promote the cooperation, he said.

Apart from some ongoing hydroelectric and thermoelectric projects, Sharif said he hoped the two countries could also cooperate in the new energy sector like solar energy, wind energy as well as biomass energy so as to improve Pakistan's energy structure.

Some preferential policies and measures had been made to encourage Chinese enterprises to enter the Pakistani energy market at reasonable cost, he added.

Sharif is on an official visit to China from July 3 to 8 at the invitation of Chinese Premier Li Keqiang.

He arrived in Shanghai on Saturday afternoon aboard a high-speed train from Beijing.