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August 24, 2017

KP spends Rs10b on 252MW hydropower generation projects


August 24, 2017

PESHAWAR: The Khyber Pakhtunkhwa government has intensified work on hydropower generation and spent a record Rs10.11 billion on six projects having the capacity of 252.4 megawatts (MW).

The provincial government through its Pakhtunkhwa Energy and Power Organisation (Pedo) is currently working on eight projects for producing 270 MW out of which projects of 56 MW were started by the previous ANP-PPP coalition government and 214 MW by the current Pakistan Tehreek-e-Insaf (PTI)-led government.

At least two of these projects, along with the much-trumpeted mini micro project of the present government, are going to be completed in the first and second quarter of the next year.

Apart from its ambitious mini micro hydel projects, the PTI government in recent months expedited work on six major projects to counter the assertion of its political opponents that it has failed to produce a single megawatt of power in the province.

The intensified utilisation of funds on the development of the hydropower generation projects is also apparently aimed at countering the claims of PTI’s rivals that the provincial government had no capacity to utilise funds even on the most vital power projects.

During its first financial year 2012-13, the government spent Rs1.8 billion on these projects.

In 2013-14 the utilisation of funds on the hydropower projects remained Rs4.0 billion and went up to Rs5.33 billion in 2014-15.

In the financial year 2015-16, the government could utilise only Rs3.77 billion of the development allocations that it had set aside for the power projects. Till 2015-16 fiscal the hydropower generation projects used to receive funds from the Annual Development Programme (ADP) of the province.

However, during the last fiscal of 2016-17, the provincial government allowed the Pedo to utilise the Hydel Development Fund (HDF) on the development of the ongoing as well as new hydropower generation projects in the province.

The HDF was established for the funds being received from the power sale proceeds and the outstanding arrears payable to Khyber Pakhtunkhwa by the federal government’s Water and Power Development Authority (Wapda) on account of its share in the net hydel profits. The fund is exclusively spent on the development of the hydropower generation projects.

According to the documents of the hydropower projects development sector, the Pedo besides its HDF allocations had also spent Rs75 million of the Asian Development Bank loan.

Its total spending was Rs10.192 billion during the last fiscal. It included Rs2.702 billion which was spent on the construction of the Koto Hydropower Project.

The total cost of the project is Rs14 billion and it would be completed in the first quarter of 2019 to produce 40.8 MW electricity.

Also, Pedo is spending Rs1.828 billion on the Daral Khwar project having capacity of 36.6 MW. It is expected to be completed in the last quarter of the current year.

The provincial government is going to spend Rs1.44 million on the Mataltan hydro-power project. The project to produce 84 MW will be competed in 2021.

The government through Pedo is also spending Rs1.43 billion on the Lawi project with capacity of 69 MW. It is scheduled to be completed in 2021.

The provincial government during the last fiscal also spent Rs988 million on the mini micro projects. Its development expenditure on the Karora project of 11.8 MW and the Jabori project of 10.2 MW would be Rs1.73 billion. Both the projects are scheduled to be completed in the 4th quarter of the next calendar year.

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