Rs133.4bn Allocated for Hydropower and Water Projects in FY2025-26

Dasu-Hydropower1

ISLAMABAD: The federal government has earmarked Rs133.4 billion for hydropower and water sector development under the Public Sector Development Programme (PSDP) 2025-26, aiming to bolster energy generation and improve water infrastructure across the country.

Key allocations include Rs20 billion for the Dasu Hydropower Project (Stage-I) and Rs25 billion for the Diamer Basha Dam, with an additional Rs7.787 billion set aside for land acquisition and resettlement. The Mohmand Dam Project (800MW) receives a substantial Rs35.724 billion, reflecting its national priority status.

Other major hydropower allocations include Rs3.4 billion for the Tarbela 5th Extension (1410MW), Rs1 billion for the Haro Hydropower Project (34.5MW) in Skardu, and Rs845 million for the second rehabilitation of Warsak Power Station. Smaller allocations target the Attabad Lake Hydropower Project (Rs500 million), Chitral Hydel upgrade (Rs200 million), and Dargai Station rehab (Rs500 million).

On the water front, Rs10 billion is allocated for the K-IV project’s water requirement, while the Greater Karachi Bulk Water Supply Scheme (K-IV Phase-I) gets Rs3.209 billion. Significant funds are directed toward dam construction in Balochistan, including Rs1.2 billion for Panjgur Dam, Rs800 million for Sunni Gar Dam, and Rs1.875 billion for remodelling the Pat Feeder Canal System.

The government has also prioritized modernization initiatives with Rs4.412 billion allocated for the installation of a telemetry system at 27 key sites on the Indus Basin Irrigation System (IBIS).

This comprehensive allocation underscores the government’s commitment to enhancing water storage capacity and sustainable energy generation amid growing climate and resource challenges.

Story by Mushtaq Ghumman

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