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Three hydropower projects worth Rs43bn move ahead in KP

August 25, 2026

By Farooq Awan

Three hydropower projects worth more than Rs43.5 billion have moved ahead in Khyber Pakhtunkhwa, targeting the addition of new generation capacity, expansion of an existing hydel station and rehabilitation of ageing power infrastructure.

According to the Ministry of Planning, Development and Special Initiatives' Monthly Development Update – August 2026, available with Wealth Pakistan, one of the three power-sector projects was approved by the Central Development Working Party (CDWP) in July, while two were recommended to the Executive Committee of the National Economic Council (ECNEC) for consideration.

The largest of the three is the 40.8MW Koto Hydropower Project in Lower Dir, carrying a revised cost of Rs21.727 billion. Sponsored by the Khyber Pakhtunkhwa government, the project was recommended by the CDWP to ECNEC.

The project represents the biggest capacity addition among the three schemes and will add 40.8MW to the province's hydropower generation capacity once completed.

Another project involves the rehabilitation of Dargai Hydroelectric Power Station in Malakand, with a revised cost of Rs14.571 billion. Sponsored by the Power Division, the scheme was also recommended to ECNEC for consideration.

Unlike Koto, which is focused on adding generation capacity, the Dargai project is aimed at rehabilitating existing hydropower infrastructure, helping improve the performance and reliability of an established generation facility.

The third intervention is the capacity enhancement of Chitral Hydel Power Station from 1MW to 5MW at a revised cost of Rs7.212 billion. The CDWP approved the project during July.

The Chitral project will increase the station's generation capacity fourfold, adding another 4MW through the expansion of an existing hydel facility.

Together, the three schemes have a revised cost of approximately Rs43.51 billion and represent three different approaches to strengthening the province's hydropower infrastructure: developing new generation capacity, expanding an existing station and rehabilitating an established hydroelectric facility.

The projects formed part of the power-sector portfolio considered by the CDWP during July. According to the document, the power-sector interventions considered during the month are aimed at improving hydropower generation and electricity infrastructure, particularly in underserved areas.

Khyber Pakhtunkhwa's mountainous terrain and river systems give the province considerable potential for hydropower development, and the three projects focus on making greater use of existing and new hydel assets without relying on a single type of intervention.

Of the three, the Chitral capacity-enhancement project has already received CDWP approval, while the larger Koto and Dargai projects will require consideration by ECNEC following the CDWP's recommendations.

Credit: INP-WealthPk