The World Bank is considering extending the closing date of the CASA-1000 electricity transmission project by three years, moving the deadline to December 31, 2028, due to delays affecting key infrastructure developments, particularly in Afghanistan.
Business Recorder reported, citing sources, that a recent World Bank Implementation Support Mission visited CASA-1000 sites in Pakistan and met officials from the National Transmission and Despatch Company (NTDC) and contractors involved. This project, formally known as the South Asia-Central Asia Electricity Transmission and Trade Project, aims to facilitate electricity trade between Central and South Asia.
Development partners including the Islamic Development Bank (ISDB), European Bank for Reconstruction and Development, European Investment Bank, Foreign, Commonwealth and Development Office (FCDO), and the United States Agency for International Development (USAID), along with the World Bank, are financially backing the project across Pakistan, Afghanistan, Tajikistan, and Kyrgyz Republic.
Significant progress has been reported on CASA-1000 infrastructure in the Central Asian countries. Tajikistan and Kyrgyz Republic have completed their construction works, with the High Voltage Alternating Current (HVAC) subsystem tested and the High Voltage Direct Current (HVDC) converter station successfully energised earlier this year. In Afghanistan, construction resumed in December 2024, resulting in over 102 transmission towers installed so far.
In Pakistan, overall progress on the Nowshera Converter Station and Electrode Station stands above 99%, and both facilities are expected to be fully completed by August 2025. The transmission line connecting Nowshera Substation to the national grid has 375 out of 376 towers erected, with completion anticipated by June 2025.
About 40 kilometres of the HVDC transmission line have already been energised, while progress on the 66kV line connecting the Electrode Substation is also advancing well, with more than half of the required towers now in place.
However, the World Bank mission identified several critical areas needing immediate attention by NTDC and Pakistan’s Power Division. An interim maintenance solution for the Converter and Electrode Stations is required since their commissioning depends on Afghanistan’s project completion. NTDC and the Owner’s Engineer have proposed a partial handover plan where Hitachi/Cobra specialists will oversee and train NTDC personnel for maintenance tasks. A final decision is pending.
Additionally, Pakistan has formally requested extending the project’s deadline to December 2028, aligning with similar extensions granted to Tajikistan, Kyrgyz Republic, and Afghanistan. NTDC’s request for a three-year extension was sent to the Economic Affairs Division (EAD) in late March, with the formal restructuring request expected to be submitted to the World Bank soon.
While current financing is sufficient for infrastructure completion, NTDC anticipates needing further funds to meet its operational readiness obligations by 2028. The exact amount and timing will be finalised in the next fiscal year.