In a significant development towards indigenous hydropower resources the construction work on the 4320 MW-Dasu Hydropower Project will commence within a week, as the contractor for civil works has been mobilized to the project site.
This was stated by the Pakistan Water and Power Development Authority (WAPDA) Chairman Lt Gen Muzammil Hussain (R), who visited the project to review progress on the preliminary works of infrastructure development in the project area and the resettlement activities leading towards socio-economic uplift of the local populace.
The Chairman said that commencement of Dasu Hydropower Project’s construction is going to be a good omen for development of hydropower potential in the country, as this project is being constructed by leveraging WAPDA’s financial strength. Out of US$ 4.2 billion required for completion of Stage-I of Dasu Hydropower Project, the World Bank (IDA) is providing a credit of US$ 824 million, while the rest of the amount is being arranged by WAPDA from various commercial sources and reploughing its own revenue surplus. Expressing satisfaction over the financial arrangement for construction of the project, he said that WAPDA last week has successfully ventured into the international financial market on its own independent standing to secure US$ 350 million at a very competitive rate, unprecedented tenure of 10 years and a staggered draw down to suit the project’s financing requirements. This amount has been raised with partial guarantee of World Bank (IDA) and the rest by the Government of Pakistan. This successful financing is a testament of the confidence reposed by the international financial institutions on the credit worthiness of WAPDA. Apart from this, WAPDA had already arranged local financing for the project worth Rs.144 billion from a consortium of local banks, he further said.
It is pertinent to mention that the 4320 MW-Dasu Hydropower Project is being constructed by WAPDA on River Indus upstream of Dasu Town in Kohistan District of Khyber Pakhtunkhwa (KP) Province. The project will be completed in two stages – each stage having a generation capacity of 2160 MW. Stage-I of Dasu Hydropower Project will be completed in almost five years and contribute more than 12 billion units per annum to the National Grid. The Stage-II, after its completion, will also provide another 9 billion units to the system every year.
Dasu is a vital development project not only for the country but also for KP Province, as the project will stabilize the economy of Pakistan by providing low-cost hydel electricity besides ushering in a new era of socio-economic development in the backward and far flung areas of KP Province.
