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CDWP clears major education, energy and water projects worth over Rs900bn

July 03, 2026

By Ayesha Saba

Pakistan's development planning authorities have advanced a portfolio of major education, energy, environment and water sector projects worth more than Rs953 billion, reflecting the government's continued focus on human capital development, energy security, climate resilience and water resource management.

According to the Ministry of Planning, Development and Special Initiatives' Monthly Development Update (June 2026), the Central Development Working Party (CDWP), during its meeting in May 2026, considered 12 development projects, approving five projects and recommending seven others to the Executive Committee of the National Economic Council (ECNEC) for final approval.

The report states that one foreign-funded education project worth Rs26.54 billion was recommended to ECNEC to improve the quality of elementary and secondary education in Khyber Pakhtunkhwa. The project aims to expand teacher and school leadership training while strengthening institutional capacity at provincial and district levels under the Khyber Pakhtunkhwa Human Capital Investment Project.

In the higher education sector, the CDWP approved two projects worth Rs8.22 billion and recommended another two projects valued at Rs32.78 billion for ECNEC's consideration. These initiatives include the Pak-UK Education Gateway (Phase-II), the expansion of the University of Narowal, the Fulbright Scholarship Support Programme (Phase-III) and overseas scholarships for MS, MPhil and PhD studies.

According to the report, the projects are intended to strengthen Pakistan's human capital through improved academic infrastructure, international collaboration and advanced research opportunities. The environment sector also received attention, with the CDWP approving a Rs454.6 million World Bank grant-funded project to strengthen environmental and social risk management within the Water and Power Development Authority (WAPDA). The initiative aims to institutionalise environmental and social safeguards across WAPDA's hydropower portfolio and reduce reliance on external consultants by developing in-house expertise. The largest proposals were concentrated in the power sector.

The CDWP recommended the revised Tarbela 5th Extension Hydropower Project, costing Rs316.41 billion, to ECNEC. The project is expected to add 1,530 megawatts of generation capacity to the existing 4,888MW hydropower complex at Tarbela Dam, significantly increasing Pakistan's renewable electricity generation. The forum also recommended a Rs33.34 billion project to establish 100MW distributed solar photovoltaic plants across 13 districts of Gilgit-Baltistan, supporting the government's broader objective of expanding clean energy generation in underserved regions. Water resource development constituted another major component of the approved portfolio.

According to the report, the CDWP approved two projects worth Rs9.54 billion and recommended two additional projects costing Rs526.32 billion to ECNEC. These initiatives include the Mashkel Dam in Balochistan, flood protection and dike improvement works along the Indus River in Sindh, the revised Diamer Bhasha Dam project, and the construction of the Kasana Rainwater Harvesting Dam at Islamabad International Airport.

The projects are intended to improve water storage, strengthen flood resilience and enhance the country's long-term water and energy security. Among the approved schemes, the Project for Flood Protection and Dike Improvement on the Indus River in Sindh Province, costing Rs4.65 billion, will be financed primarily through a 98% grant from the Japan International Cooperation Agency (JICA), with the Government of Sindh providing the remaining 2%. The project is designed to reduce flood risks in vulnerable low-lying areas of the Indus basin.

The report notes that the approved and recommended projects reflect the government's strategy of balancing investments in education and human capital with major infrastructure schemes aimed at improving energy supply, strengthening climate resilience and enhancing water resource management. Collectively, these initiatives are expected to support sustainable economic growth while addressing critical development challenges across multiple sectors.

Credit: INP-WealthPk