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The $47 billion power expansion plan through 2035 is approved by NEPRA.

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 The National Electric Power Regulatory Authority (NEPRA) has approved a $47 billion power expansion plan aimed at meeting Pakistan’s electricity generation and transmission requirements through 2035, while rejecting a $900 million investment in a battery energy storage system as unnecessary.

NEPRA approved the Integrated System Plan 2025-35 submitted by the Independent System and Market Operator (ISMO). However, it rejected the proposed Battery Energy Storage System (BESS) investment, saying it had not been properly evaluated through the ISMO optimization model.

NEPRA also revealed that Pakistan’s cheapest renewable electricity had not been incorporated into national planning for more than a year despite repeated warnings by the regulator.

According to the plan, the country’s maximum electricity demand is expected to rise from 26,950 megawatts in 2025 to 35,521 megawatts in 2035. To meet this demand, a total of 26,045 megawatts of new generation capacity will be required, including 17,485 megawatts from already allocated projects and 8,560 megawatts of newly optimized proposed capacity.

During the period, 2,577 megawatts of generation capacity is estimated to be retired. The expected cost of the power generation projects is $47.13 billion, while another $10.65 billion will be required for upgrades to the transmission system.

NEPRA refused to approve the proposed battery energy storage system, stating that its cost had not been realistically incorporated and tested in ISMO’s optimization model. The regulator directed that a comprehensive technical study be conducted on the project, after which it could be reconsidered.

NEPRA also did not endorse the proposed completion of the NGC-K-Electric interconnection transmission line by 2028. According to the regulator, the proposed timeline was not realistic as construction of the line would take around five years.

The plan has been prepared by ISMO, the institution responsible for operating and managing Pakistan’s electricity system. The Integrated System Plan primarily consists of two components: construction of new power plants in the country and development of new transmission lines for electricity transmission.

NEPRA directed ISMO to address several shortcomings before preparing its next plan, including providing greater clarity in the data and resolving discrepancies in electricity tariff projections.

An important aspect of the decision was that NEPRA members were not completely unanimous, with each member recording separate notes outlining their concerns.

NEPRA member Maqsood Anwar Khan objected to the removal of several hydropower projects from the plan, including Gabrial Kalam, Madian, Kalam Asrit and Asrit Kadam projects. These projects had previously been approved and considered protected.

Maqsood Anwar Khan maintained that the projects had been quietly excluded from the plan without clear or legal justification, which could discourage investors who had invested on the basis of earlier assurances.

Various stakeholders, including planners, business organizations and provincial governments, also expressed concerns, saying Pakistan already has an additional power generation capacity of 15 to 20 gigawatts, while existing power plants are operating at only around 45% of their capacity.

The stakeholders warned that further investment could increase circular debt and capacity payments, ultimately placing the burden on electricity consumers through higher power bills.

The strongest criticism from within NEPRA came from member Amina Ahmed. In her dissenting note, she said K-Electric had secured tariffs as low as 3.09 US cents per kilowatt-hour during a renewable energy auction in late 2024, the lowest tariff achieved so far in Pakistan.

According to her, ISMO had failed to include projects with a combined capacity of around 640 megawatts in its plans for more than a year, despite NEPRA raising questions over the matter several times, including through an application in March 2026.

Amina Ahmed revealed that ISMO had used incorrect data in its model. After the data was corrected in July 2026, it was found that incorporating the cheaper electricity would reduce rather than increase the system’s cost.

She said the situation had significantly affected NEPRA’s confidence in ISMO’s optimization process.

NEPRA Chairman Waseem Mukhtar supported the final decision but highlighted a major issue, saying Pakistan was paying for more power generation capacity than required, which was causing electricity bills to remain expensive.

He said electricity demand from the national grid had already declined to around 12,000 megawatts during daytime hours as more people were using solar panels and other alternative sources instead of relying on the

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Maryam inaugurates 5 road projects under Punjab PPP Authority

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– Punjab Chief Minister Maryam Nawaz Sharif has digitally inaugurated five road projects under the Punjab Public-Private Partnership Authority, with the management and operation of the five roads handed over to the private sector.

The transfer of the projects under the Punjab Public-Private Partnership Authority is expected to generate Rs22 billion in revenue for the Punjab government. Modern electronic toll plazas will also be established on roads shifted to the PPP model.

The projects include the 80-kilometre Muridke-Narowal Road, 33-kilometre Shakargarh-Narowal Road and 97-kilometre Faisalabad Ring Road. The 52-kilometre Faisalabad-Sahianwala Road and 56-kilometre Faisalabad-Samundri-Rajana Road are also part of the PPP projects.

Under the arrangement, private contractors will collect tolls linked with the National Highway Authority for seven years, while the private companies will also be responsible for maintenance, construction and repair of the respective roads.

Vice Chairperson of the Punjab Public-Private Partnership Authority and Senior Minister Marriyum Aurangzeb briefed the meeting on the projects. She said projects involving hostels, hospitals, parks, sports grounds, waste-to-energy facilities, parking plazas, tourism, water supply and recycling were also in the pipeline under the PPP authority.

Effluent treatment plants for filtering toxic industrial wastewater, as well as Zarrar Cafe, tourism and food street projects, will also be completed under the PPP model.

The processing time for projects under the Punjab Public-Private Partnership Authority has been reduced from less than two years to six months.

Four more roads in Punjab will be shifted to the PPP model, including the 42-kilometre Bahawalpur-Yazman Road, 43-kilometre Yazman-Ahmadpur East Road, 28-kilometre Raiwind-Changa Manga Road and 26-kilometre Gajjumata-Kasur Road.

Water and sanitation services projects in Chakwal and Kasur will also be completed under public-private partnerships. In Lahore, the Tourism Department will develop a Time Travel Park under the PPP model.

For the first time, an FMD vaccine protection plant will be established to combat foot-and-mouth disease among livestock. A parking plaza and multimodal commercial facility will also be developed at Badami Bagh bus terminal, while a bridge will be constructed at Sahuka Pattan over the River Sutlej under the PPP model.

Black soldier fly larvae facilities will be established for solid waste management at vegetable and fruit markets across Punjab. The management of 100 sports grounds and other facilities will also be carried out under the PPP framework.

A modern truck terminal will be developed in Faisalabad under the PPP model. Girls’ and boys’ hostels will be constructed at Punjab University and 28 other public-sector universities, while hostels at three medical colleges will also be developed through public-private partnerships.

Fourteen hostels will be established across the province for working women under the PPP model. The operation and development of the Nursing Hostel at Sahiwal Teaching Hospital and Faridia Park Sahiwal will also be undertaken through public-private partnerships.

Projects worth up to Rs500 million can be approved and implemented through the divisional PPP working party headed by the commissioner.

Chief Minister Maryam Nawaz Sharif appreciated Finance Secretary Mujahid Sher Dil, Communications Secretary Raja Jahangir Anwar, PPP Authority CEO Dr Zeeshan Hanif and their team for their efforts. Provincial Communications Minister Sohaib Ahmed Bharth, Finance Secretary Mujahid Sher Dil and Communications Secretary Raja Jahangir Anwar also addressed the ceremony.

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Jet fuel price rises by Rs9.05 per litre in Pakistan

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 Jet fuel prices have once again increased in the country, along with the price of kerosene oil.

The price of jet fuel has been increased by Rs9.05 per litre, while kerosene oil has become Rs7.68 per litre more expensive.

Following the increase, the new price of jet fuel has been fixed at Rs355.52 per litre, while kerosene oil will now cost Rs329.54 per litre.

Meanwhile, according to a notification issued by the Petroleum Division, the price of petrol has also been increased by Rs2.10 per litre, taking its new price to Rs392.76 per litre.

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Govt sets deadline of 20th Oct for pilgrims to pay 2nd Hajj installment

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The religious affairs ministry stated late Friday that the federal government has fixed October 20 as the deadline for intending pilgrims selected under the government Hajj system to deposit the second installment of their pilgrimage dues.

ISLAMABAD: Pakistan has set aside 107,526 slots for the government plan, including 30,000 for a shorter package, and another 71,696 slots have been granted to the private scheme for next year’s Hajj.

The country on Aug. 25 completed online booking of all tickets in the government Hajj scheme, the first time the whole quota has been filled through a digital reservation system.

The ministry of religious affairs said in a statement on Friday that the applications of pilgrims for next year’s Hajj will be cancelled if they did not pay by the deadline.

“The dates for depositing the second installment of dues for Hajj pilgrims under the government scheme have been fixed from 5 October to 20 October, 2026,” the ministry said.

“If the second installment is not deposited within the deadline, then the Ministry said the pilgrim’s application will be cancelled and the amount deposited earlier will be refunded to the pilgrim’s account,” the Ministry said.

Under the government arrangement, pilgrims can pay the second payment of Hajj dues through the ‘Pak Hajj App’ or digital Hajj site within the stipulated deadline.

The government said that submitting the Hajj medical fitness certificate on the ‘Pak Hajj’ app or the digital Hajj portal was essential before depositing the second installment.

This year the government announced that pilgrims will pay Rs1.2 million ($4,334) for a 40-day Hajj package and Rs1.3 million ($4,695) for a shorter, 20- to 25-day package under the government system.

The first installment of dues for seats under the shorter government package was paid within 24 hours of the process starting on Aug 18 and the rest of the seats under the plan were booked by Aug 25.

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