Islamabad: The World Bank (WB) has allocated USD 700 million in additional financial assistance for the expansion of the Dasu Hydropower Project, a news source reported.
As per the publication, these funds will be channelled into the installation of a 2,160-megawatt hydropower system on the Indus River. The World Bank Board of Directors has sanctioned this package to enable Pakistan to supply renewable, low-cost energy to local consumers.
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Narrowly, this WB financing arrangement will see to the completion of Stage I of the Dasu project.
Stage II, as per the project blueprint, involves a doubling of the capacity of the hydropower project to 4,320 megawatts; making it the largest undertaking of its kind in the country. The electricity produced by the Dasu Project is expected to cost USD 0.03 per kilowatt hour (kWh), while the current electricity costs in Pakistan amount to USD 0.08 kWh.
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WB Country Director for Pakistan Illango Patchamuthu has said that the Dasu Hydropower Project would minimise the country’s fossil fuels import volume and relieve its economic balance stress; in addition to lessening aggregate energy costs.
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Further, Project Task Team Leader Rikard Liden has stated that the Dasu Project is ‘one of the best hydropower projects’ in the world because of its low environmental footprint.