US$ 248 million loan signed with ADB for Power Transmission Enhancement Investment Program Tranche 4
Today, 12th December, 2014, the Government of Pakistan and Asian Development Bank signed Loan and Project Agreements amounting to US$ 248 for million Power Transmission Enhancement Investment Program Tranche 4. Mr. Muhammad Saleem Sethi, Secretary, Economic Affairs Division (EAD) has signed the Loan Agreement with Mr. Werner E. Liepach, Country Director, ADB. The power transmission tranche 4 aims to improve energy supply and security by reducing transmission infrastructure bottlenecks and transmission losses and expanding the national transmission system by connecting generation sources and load centers.
Asian Development Bank (ADB) has been providing, a Multi-tranche Financing Facility (MFF) amounting to US$ 800 million for Power Transmission Enhancement Investment Program since 2006. The investment program has supported the rehabilitation, augmentation and expansion of the transmission substations, transmission lines of 220 kv and above installation of static var compensator (SVC) equipments. Tranche 4 is the last tranche of transmission MFF, under this tranche 4 new grid stations of 220 kv shall be constructed in D.I Khan, Nowshera, Lalian and Chakdra. A new transmission line of 500 kv shall also be constructed for dispersal of Power from 747 MW Power Plant at Guddu.
In his remarks, the Secretary, EAD also appreciated the ADB’s investments for the Jamshoro Coal Power Project, Budgetary Support Program for energy sector and upcoming Multi-tranche Financing Facility (MFF) for the Smart Metering System amounting to US$ 990 million.
The project is expected to be completed by 31 December, 2016.