ISLAMABAD: A policy rift has emerged between the Independent System and Market Operator (ISMO) and the National Electric Power Regulatory Authority (Nepra) over critical elements of the Integrated System Plan (ISP) 2025–35, including project inclusion, demand projections and regulatory compliance.
ISMO defended its decision to exclude certain hydropower projects from the latest Indicative Generation Capacity Expansion Plan, citing delays, low progress and updated least-cost planning requirements. However, Nepra insisted that projects such as Gabral Kalam and Madyan—previously classified as “committed” under IGCEP-2021—must remain part of future plans in line with decisions of the Council of Common Interests.
The regulator also criticised inconsistencies in demand projections and flagged the omission of several renewable projects, including those by K-Electric. ISMO, however, argued that only projects meeting revised progress criteria should qualify, warning that premature inclusion could raise system costs.
The disagreement highlights broader challenges in aligning policy directives with evolving energy dynamics, including slowing demand growth and rapid expansion of rooftop solar across the country.
Story by Mushtaq Ghumman