Waste management is an emerging focus in Pakistan. Specifically, waste-to-energy (WtE) projects are conceived to obtain benefits from municipal waste collection in metropolitan cities. This study provides a brief background of WtE potential, waste collection statistics, type of generated wastes, and current measures to build the confidence of investors in WtE projects. In addition, a brief overview of government efforts for WtE and delineation of licensing requirements for power generation are discussed. The parameters laid down for the determination of tariffs for municipal waste management power projects and the cost accounted for each parameter are analyzed in detail. Similarly, this study deliberates on observations among stakeholders and compares Pakistan tariffs with those of neighboring countries.