The World Bank has reaffirmed its financial backing for the completion of the Tarbela Hydropower Project Extension-5 (T5HP), emphasizing the need for reallocation of funds to meet project timelines. The announcement followed a recent visit to Tarbela Dam, where the bank reviewed progress on the hydropower component implemented by WAPDA, as reported by Business Recorder.
According to the World Bank, T5HP’s implementation is progressing well, with key milestones achieved by contractors Power Construction Corporation of China (PCCCL) and Harbin Electric International. The civil works for the project are advancing, and a critical connection tunnel is expected to be completed soon.
However, the World Bank has urged WAPDA to closely monitor construction, especially the erection/loading bay for electromechanical installations.
The World Bank also emphasised that the timely rehabilitation of Tunnel 5’s bulkhead and service gates is crucial for the smooth commissioning of the project, slated for the end of 2026. The Bank warned that the lack of funding for necessary adjustments could lead to delays.
In addition to monitoring the civil works, the World Bank recommended the reallocation of approximately $50 million from the E&M component to civil works to ensure financing availability in FY2026. The reallocation is needed to address unexpected geological issues and other cost escalations.
The bank also addressed progress on the T5 Transmission Line (T5TL), which will connect the project to the Islamabad West Substation (IWS) and other major power grids. The transmission line work is progressing, with foundations and tower erections on schedule.
The World Bank also urged the National Transmission and Despatch Company (NTDC) to finalise the remaining details and ensure full compliance with resettlement plans.
The World Bank reiterated its long-term support for Pakistan’s energy security, emphasising the importance of planning for future power evacuation systems and transmission line expansions to accommodate the 1,530 MW from T5HP and 2,160 MW from the Dasu Hydropower Project.
A follow-up meeting between the World Bank and Pakistan’s line ministries will be held on Friday to further discuss fund reallocation and ensure the continued progress of the project.
The Tarbela Dam continues to be a cornerstone of Pakistan’s energy infrastructure. The Tarbela Fourth Extension Hydropower Project (T4HP), commissioned in 2018, has already contributed 1,410 megawatts (MW) to the national grid, generating significant savings in foreign exchange. With the fifth extension (T5HP), the project aims to further enhance the dam’s capacity.
