The Asian Development Bank (ADB) has sanctioned a $250 million loan to Pakistan to enhance the country’s power transmission system amidst ongoing electricity shortages.
The financial aid is intended to bolster reliable electricity delivery in Pakistan, focusing on expanding and improving the power transmission network in Punjab and Khyber Pakhtunkhwa provinces, as stated in an official ADB announcement.
The ADB’s Power Transmission Strengthening Project aims to reinforce the stability of the national grid by augmenting its transmission capacity. This involves expanding the high-voltage transmission network, closing gaps in 500 kilovolt (kV) and 220kV transmission lines, and upgrading infrastructure in Lahore city to reduce transmission losses. ADB Director General for Central and West Asia, Yevgeniy Zhukov, emphasized the project’s role in facilitating inclusive and sustainable economic growth, providing opportunities for rural communities, and contributing to Pakistan’s energy security.
Comprehensive Development and Gender Equality Initiatives
The project also aligns with ADB’s continued support of the National Transmission & Despatch Company Limited (NTDC), focusing on energy security, climate resilience, and enhanced transmission capacity for clean energy. It aims to improve the national transmission system’s management.
Furthermore, the project includes initiatives to strengthen NTDC’s project and financial management and its capacity for climate-resilient planning and operations. ADB Senior Energy Specialist Takhmina Mukhamedova highlighted the project’s commitment to promoting gender equality and women’s participation in the energy sector, with plans for mentorship programs, awareness campaigns, childcare centres, and technical training for female staff at NTDC. Additionally, the project encompasses livelihood skills development for women in project areas and training for local communities to respond to climate-induced natural hazards.