PSL is engaged in various activities leading to sustainable development with a focus on minimizing environmental damage. In the energy field PSL is engaged in disseminating renewable energy technologies to small industries. PSL encourages efficient use of energy in rural applications for the developing countries.

In the light of recent problems with drinking water in rural Bangladesh, PSL was involved in Arsenic removal from tubewell water. Under the Emergency Arsenic Contamination Mitigation Programme, PSL gave technical input to the alternative solutions for arsenic removal from drinking water.