NTDC Concedes Delays in Power Plan Implementation Amid Rising Costs

Power-Project

ISLAMABAD — The National Transmission and Dispatch Company Limited (NTDC) acknowledged significant delays in executing the power distribution and transmission enhancement investment program, which is funded by multilateral and bilateral partners. Citing challenges in land acquisition and procurement, NTDC stated that these delays are escalating costs and leading to additional commitment charges.

During a Senate Standing Committee on Economic Affairs meeting chaired by Saifullah Abro, officials reviewed the status of power sector projects. The committee called for greater transparency from NTDC, expressing concern over delayed projects that could prevent system breakdowns and questioning the slow progress despite available foreign loans.

Economic Affairs Division officials reported 16 active projects with multilateral partners, including the Asian Development Bank, the World Bank, and others, with a total commitment of $4.35 billion and disbursements of $1.87 billion. Additionally, 27 multilateral and 16 bilateral projects have been completed with commitments of over $4.6 billion and $629 million, respectively.

The committee scrutinized the delayed “Second Power Transmission Enhancement Investment Program Tranche 2,” including substations in Mirpurkhas and Zhob, now postponed to August 2025. NTDC cited COVID-19, delayed Letters of Credit, and design changes as factors. Officials pledged to provide a comprehensive report on all tendering and delay causes in future meetings.

Power Division Additional Secretary Alamzeb Khan stated that a new “Monitoring and Implementation Wing” will track project progress monthly and that NTDC restructuring is planned to enhance transparency and efficiency.

Story by Tahir Amin

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