Fourth tranche: ADB to provide $248m for improving power transmission in Pakistan

4 new grid stations of 220KV to be constructed in DI Khan, Nowshera, Lalian, Chakdra; 500KV transmission line

ISLAMABAD:
The government on Friday signed loan and project agreements worth $248 million with the Asian Development Bank (ADB) for improving power transmission.

The fourth tranche of the Power Transmission Enhancement Investment Programme aims to improve energy supply and security by reducing transmission infrastructure bottlenecks and minimising transmission losses while expanding the national transmission system by connecting generation sources and load centers.

The agreements were signed by the Secretary Economic Affairs Division Muhammad Saleem Sethi and Country Director ADB Werner E Liepach in Islamabad on Friday.


This the last tranche of ADB’s Multi-tranche Financing Facility (MFF) worth $800 million for power transmission enhancement since 2006. The programme has been supporting the rehabilitation, augmentation and expansion of the transmission sub-stations, transmission lines of 220 kv and above installation of static var compensator (SVC) equipments.

Under the final tranche of the program, four new grid stations of 220 kv will be constructed in DI Khan, Nowshera, Lalian and Chakdra. A new transmission line of 500 kv will also be laid for dispersal of electricity from the 747 MW power plant at Guddu.

Secretary EAD appreciated ADB’s investments for the Jamshoro Coal Power Project, budgetary support programme for energy sector and the upcoming multi-tranche financing facility (MFF) for the smart metering system worth $990 million. The ADB Country Director also reaffirmed the lending agency’s support and cooperation for development projects in Pakistan.

The project is expected to be completed by December 31, 2016.
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