ISLAMABAD: The National Electric Power Regulatory Authority (NEPRA) has voiced serious concerns over the continued outage of over 1,700MW of low-cost electricity from two major government-owned power plants — Neelum Jhelum Hydropower Project (NJHPP) and Guddu 747. The prolonged shutdowns are significantly increasing the financial burden on electricity consumers.
In an official communication, NEPRA Chairman Waseem Mukhtar highlighted that the NJHPP, once expected to reduce dependence on fossil fuels, has faced two major shutdowns — from July 2022 to August 2023 and again since May 1, 2024. The latest closure was caused by structural issues in the Headrace Tunnel, including collapses, silt buildup, and seepage, making the plant non-operational.
Chairman Mukhtar noted that despite collecting Rs75.484 billion from the public via a Neelum Jhelum Surcharge between 2008 and 2018, the plant’s ongoing outage has forced the system to rely on expensive alternatives. Consumers are now bearing an additional Rs0.54/kWh monthly due to the plant’s non-performance. Restoration could take up to two years, compounding the financial strain.
Similarly, the Guddu 747 steam turbine has remained offline since a fire incident in July 2022. Despite repeated advisories from NEPRA, repairs have yet to be completed. The outage has pushed the plant into inefficient open cycle operation and caused a cumulative financial loss of approximately Rs127 billion (\$453 million). Moreover, the loss of this facility is impacting national grid stability, particularly in providing critical reactive power (MVARs).
Chairman Mukhtar urged immediate action to rehabilitate both plants, warning that any further delays will escalate costs and operational risks, ultimately transferring a greater burden to the public.
Story by Mushtaq Ghumman