Through e United States Agency for International Development (USAID), the US government is collaborating 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.
The project will also improve the management and operations of power transmission and distribution systems through technical assistance to the government and private sector, increasing Pakistan’s power system’s financial viability, reliability, and affordability.
“The United States looks forward to advancing our partnership with Pakistan to build a clean, efficient, and reliable electricity generation sector, laying the groundwork for long-term and inclusive growth,” said USAID Mission Director Julie A. Koenen at the ceremony.
“Through this new initiative, USAID will collaborate with the Government of Pakistan to help Pakistan transition to a truly competitive wholesale power market.” This will increase open and transparent private sector participation 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 long-term cooperation in assisting Pakistan’s transition to clean energy. He stated that he looks forward to continuing the collaboration to improve Pakistan’s power sector performance.
Over the last 75 years, the United States-Pakistan partnership has improved Pakistani lives by constructing dams and transmission lines, responding to humanitarian crises, and combating shared challenges such as the COVID-19 pandemic, climate change, and water vulnerabilities.
To increase Pakistan’s energy supply, the US and Pakistan built three dams – Gomal Zam dam in South Waziristan, Satpara dam in Gilgit Baltistan, and Golen Gol dam in Chitral, Khyber Pakhtunkhwa – adding 143 megawatts of electricity to the national grid – and rehabilitated the Mangla and Tarbela dams and three thermal power plants, as well as connecting more than 860 megawatts of commercially.