ADB considers options to finance Diamer-Bhasha Dam

Investment in wind energy to get backing.

Express August 25, 2011

ISLAMABAD: Asian Development Bank (ADB) is considering various options to finance multi billion dollars Diamer-Bhasha Dam project. This was said by Jaun Miranda, Director General while talking to the Federal Minister for Water and Power, Syed Naveed Qamar here today. A three member ADB delegation called by him here on Thursday. The ADB also agreed to provide counter guarantees to investors for investing in wind power generation projects in Pakistan, Mirzanda said.

The wind power generation projects will generate cheaper electricity in the country. Miranda said that the bank is already providing financial assistance for power distribution enhancement project and will continue its support for the project in order to improve energy efficiency. The transmission and distribution system and energy loss reduction programme is also being funded by ADB for all DISCOs and Mirzanda said that the bank was ready to expand its funding for replacing obsolete distribution networks.

The bank will provide financial assistance for free distribution of 30 million energy saver bulbs (CFLs) in the country. These energy savers will help reducing peak-hour demand by over 1,000 MW. He also said that the bank will fully support the energy conservation initiatives of the government.

The Minister for Water and Power appreciated the role of ADB for improvement in energy sector and said that the support of the bank for energy efficiency programme will help to save the energy and reduction in the transmission and distribution losses.

The minister also thanked for providing counter guarantee facility for wind power projects. The minister also briefed the delegation regarding new energy sector improvement initiatives like Operation and Maintenance contract of Gencos through the private sector and conversion of existing IPPs to cheaper fuels. He also asked ADB to finance mega water and power sector projects to end the crises in these sectors.

The ADB director also discussed the current status of power sector reforms, energy efficiency programmes, central power purchasing agency, and independence of Discos. The Minister also assured that all the efforts will be made to timely complete the existing projects being funded by ADB.

Published in The Express Tribune, August 26th,  2011.

Facebook Conversations