US Launches $23.5m Power Project In Pakistan

ISLAMABAD: The United States government, through the United States Agency for International Development (USAID), is partnering with the Pakistani government to launch a $23.5 million, four-year power sector improvement project to address climate change and increase the share of green energy in Pakistan’s energy mix.

Through technical assistance to the government and private sector, the project will also improve the management and operations of power transmission and distribution systems, increasing the financial viability, reliability, and affordability of Pakistan’s power system.

“The United States looks forward to advancing our partnership with Pakistan to build a clean, efficient, and reliable electricity generation sector, laying a foundation for sustainable and inclusive growth,” said USAID Mission Director Julie A Koenen at the launch ceremony.

“Through this new initiative, USAID will partner with the Government of Pakistan to support the transition to a truly competitive wholesale power market. This will increase private sector participation in an open and transparent manner and support our shared energy reform goals,” she added.

Shah Jahan Mirza, Managing Director of the Private Power Infrastructure Board, praised USAID for its strong partnership, innovation, and sustained cooperation in supporting Pakistan’s transition to clean energy and said he looks forward to continuing the partnership to improve Pakistan’s power sector performance.

Over the last 75 years, the US-Pakistan partnership has improved Pakistani lives by building dams and transmission lines, responding to humanitarian emergencies, and combating shared challenges like the COVID-19 pandemic, climate change, and water vulnerabilities.

To expand Pakistan’s energy supply, the United States and Pakistan have built three dams – GomalZam dam in South Waziristan, Satpara dam in Gilgit Baltistan, and GolenGol dam in Chitral, Khyber Pakhtunkhwa, adding 143 megawatts of electricity to the national grid – and together have rehabilitated the Mangla and Tarbela dams and three thermal power plants, and connected more than 860 megawatts of commercially-funded wind and solar projects to the national grid.