World Bank approved the Dasu hydro electric power project for Pakistan

In a pre-scheduled meeting of its Executive Directors, the World Bank today approved the Dasu hydro electric power project for Pakistan. The meeting, chaired by Sri Mulyani Indrawati, the Managing Director and the Chief Operating Officer of the World Bank, endorsed the Dasu project with an overwhelming support with all the members including the United States voting in favour of the project.

Dasu hydro electric power or Dasu Dam is a critical project to meet the energy needs of Pakistan with a potential to generate 4200 MWs of cheap electricity. Upon completion, it will substantially increase the generation capacity of the country, reduce subsidies, change the fuel mix and bring down the cost of electricity generation.

Today’s decision by the World Bank to support the project is a reflection of the international financial institutions’ confidence on Pakistan’s economic revival and its clear vision to overcome the energy requirements of the country. It will also open the sector of hydel power generation to the private participation.

The US support for the project is in line with the commitment made by the leadership of the two countries to enhance cooperation in the energy sector as envisioned by President Obama and Prime Minister Muhammad Nawaz Sharif in the Joint Statement of October 2013. Progress on this critical project for Pakistan will help forge the Pakistan- US partnership on a lasting basis and further strengthen the bilateral relations between the two countries.

June 10, 2014
Washington D.C