Following the acceptance of a revised PC-1 with updated completion timeframes, the World Bank (WB) is expected to grant a new $1 billion loan for the first phase of the Dasu hydropower project, according to a report published by The News on Monday.
According to a senior Economic Affairs Division (EAD) official, the project’s initial phase cost Rs1,700 billion, up 190.1% from Rs586 billion.
Security concerns, a 178% increase in the value of the US dollar, and a delay in land purchase are the key causes of the cost surge.
“The stage I project would produce 2,160 MWs.” However, 4,320 MWs would be produced once stage II of the project was built. On the Indus, the Dasu Hydropower Project is a run-river project.
