ISLAMABAD: The Asian Development Bank (ADB) on Thursday approved a $330 million loan for Pakistan to expand the national power transmission network under its Second Transmission Strengthening Project that aims to help Islamabad cut reliance on imported fuels and boost energy security, ADB said on Thursday.
The country of 250 million faces chronic power outages, soaring electricity costs and a ballooning circular debt in the power sector that has reached 1.7 trillion rupees ($5.9 billion), according to government data.
The ADB project entails the construction of a new 500-kilovolt, approximately 290-kilometer transmission line and upgrading grid infrastructure that serves Pakistan’s capital Islamabad and the city of Faisalabad.
It is expected to improve electricity reliability and could also benefit millions of households and industries while enhancing energy efficiency and supporting long-term economic growth in the South Asian nation.
“This project represents ADB’s strong partnership with Pakistan and our shared commitment to accelerate clean energy transition and integration, and to achieve a resilient and sustainable energy sector,” the bank quoted its Country Director for Pakistan Emma Fan as saying.
