ISLAMABAD: The 969-MW Neelum-Jhelum Hydropower Project will stay non-operational for at least two more years following a major rock burst that damaged its underground tunnel system in May 2024, the National Electric Power Regulatory Authority (NEPRA) was informed on Wednesday.
The project, commissioned in 2018 at a cost of Rs500 billion, has been a critical source of low-cost electricity. Its extended outage is further straining the national grid, increasing reliance on expensive alternatives, and worsening the circular debt crisis.
The update came during a NEPRA hearing on a CPPA petition for a Rs0.65/unit fuel cost reduction for June, potentially saving Rs8 billion. Tensions rose as private stakeholders criticized the government over unfulfilled tariff relief promises and surging industrial rates.
Story by Israr Khan
