ISLAMABAD: The World Bank has expressed concerns over delays in the $195 million Electricity Distribution Efficiency Improvement Project (EDEIP), citing challenges related to implementing agency capacity, land acquisition, and procurement processes.
The project, designed to enhance operational efficiency and support power sector reforms, has seen only 5.86% of funds disbursed—approximately $11.43 million—since its approval in December 2021. Initially declared effective in August 2022, the project is set to conclude on December 31, 2027.
The EDEIP aims to modernize operations in Hyderabad Electric Supply Company (HESCO), Multan Electric Power Company (MEPCO), and Peshawar Electric Supply Company (PESCO) through three main components: improving grid reliability, modernizing operations and management, and capacity building with technical assistance.
To address delays, the government has committed to a Project Implementation Enhancement Plan (PIEP), which includes setting realistic milestones, tracking key activities, and allocating necessary resources. Monthly reviews with the World Bank are planned to ensure progress.
Once completed, the project will enhance grid stability, reliability, and service delivery for consumers in targeted regions, bolstering operational efficiency and strengthening the power sector.
Story by Tahir Amin
