The project will use the existing dam, tunnel, roads and transmission line for generating additional electricity in summer months when demand for electricity and river flows are high. The project will add generation capacity of 1410MW.
The International Bank of Reconstruction and Development (IBRD) has approved a fixed spread US$400M loan with a maturity of 21 years, including a grace period of siz years. The remaining $440M is a credit from the International Development Association (IDA), the World Bank’s concessionary lending arm.
“The Tarbela IV Hydropower Project will enhance Pakistan’s energy security by adding low-carbon, least-cost and renewable hydel power to its energy portfolio, said Rachid Benmessaoud, World Bank Country Director for Pakistan. “The beauty of this project is that it will help Pakistan reduce the gap between supply and demand of electricity by maximizing the benefits of existing infrastructure of Tarbela Dam without requiring any land acquisition or relocation of population. The direct beneficiaries will be millions of energy users, including industry, households and farmers who would get more electricity at a lower cost and suffer fewer blackouts.”
