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NJHP resumption crucial to avert Rs42bn annual losses, Senate body told

August 22, 2025

Abdul Ghani

The Senate Standing Committee on Water Resources was informed on Wednesday that the early resumption of the Neelum–Jhelum Hydropower Project (NJHP) is critical to avoid financial losses of around Rs42 billion annually.

WAPDA Chairman Lieutenant General (R) Muhammad Saeed, Secretary of WAPDA, and other senior officials briefed the committee on the project’s current status and its strategic importance for the national economy.

Senate Standing Committee Chairman Senator Shahadat Awan stressed the urgency of bringing NJHP back into operation, underscoring its vital role in stabilizing electricity costs, conserving foreign exchange, and ensuring Pakistan’s clean energy future.

According to documents shared with committee members — and also obtained by WealthPK — the project, constructed at a cost of Rs428 billion against the revised PC-I estimate of Rs506.81 billion, is one of the most complex hydropower schemes ever undertaken in Pakistan.

It consists of a composite gravity and rockfill dam, a sophisticated underground tunnel system including twin headrace tunnels of 19.6 kilometers each, a single tunnel of 8.94 kilometers, and a 3.54-kilometer tailrace tunnel.

With a gross head of 420 meters and a design discharge of 280 cubic meters per second, the NJHP has demonstrated its capacity to provide reliable and cost-effective hydropower. The document further revealed that the NJHP has already generated more than 20.03 billion units of clean, renewable electricity since its commissioning, contributing an average of 4.663 billion units annually to the national grid.

With over 20 billion units supplied so far, the Neelum–Jhelum project remains a flagship initiative of Pakistan’s hydropower sector. Officials emphasized that its timely resumption will not only restore its role as a pillar of the national energy mix but also prevent massive financial losses and reinforce the country’s shift towards sustainable energy solutions.

Credit: INP-WealthPk