{"id":3685,"date":"2025-06-20T15:04:03","date_gmt":"2025-06-20T10:04:03","guid":{"rendered":"https:\/\/youdigital.pk\/en\/?p=3685"},"modified":"2025-06-20T15:04:03","modified_gmt":"2025-06-20T10:04:03","slug":"2-5-billion-kohala-hydropower-project-seeks-critical-deadline-extension","status":"publish","type":"post","link":"https:\/\/youdigital.pk\/en\/2025\/06\/20\/2-5-billion-kohala-hydropower-project-seeks-critical-deadline-extension","title":{"rendered":"$2.5 Billion Kohala Hydropower Project Seeks Critical Deadline Extension"},"content":{"rendered":"<p class=\"ds-markdown-paragraph\"><strong>ISLAMABAD: The developers of Pakistan&#8217;s landmark 1,124 MW Kohala hydropower project have formally requested a two-year extension of their Letter of Support (LoS) until September 2027, citing the need to safeguard the country&#8217;s water rights under the Indus Waters Treaty (IWT).<\/strong><\/p>\n<p class=\"ds-markdown-paragraph\">The $2.5 billion run-of-river project on the Jhelum River represents one of Pakistan&#8217;s largest foreign investments in clean energy and a strategic assertion of its water entitlements under the 1960 World Bank-mediated agreement with India.<\/p>\n<h3><strong>Defending Pakistan&#8217;s Water Sovereignty<\/strong><\/h3>\n<p class=\"ds-markdown-paragraph\">Kohala Hydro Company Limited (KHCL) CEO Liu Yonggang emphasized the project&#8217;s critical role in cementing Pakistan&#8217;s legal claims to Western Rivers&#8217; waters under IWT Article III.<\/p>\n<p class=\"ds-markdown-paragraph\">The treaty explicitly grants Pakistan rights to harness the Jhelum, Chenab and Indus rivers for hydroelectric generation &#8211; a provision the Kohala project strategically operationalizes through its planned diversion weir and 22 km tunnel system.<\/p>\n<p class=\"ds-markdown-paragraph\">With India accelerating its own hydropower projects on shared rivers, the extension would allow Pakistan to maintain parity in exercising its water entitlements while securing crucial Chinese investment under CPEC&#8217;s energy framework.<\/p>\n<h3><strong>Project Timeline and Strategic Importance<\/strong><\/h3>\n<p class=\"ds-markdown-paragraph\">Originally awarded in 2018, the project by China Three Gorges Corporation has faced delays due to:<\/p>\n<p class=\"ds-markdown-paragraph\">Complex financing arrangements involving Chinese banks<\/p>\n<p class=\"ds-markdown-paragraph\">COVID-19 disruptions to international supply chains<\/p>\n<p class=\"ds-markdown-paragraph\">Ongoing technical studies on sediment management<\/p>\n<p style=\"text-align: left;\">The 2027 extension would provide breathing room to:<br \/>\nFinalize $1.8 billion in debt financing<br \/>\nComplete detailed engineering designs<br \/>\nSecure remaining regulatory approvals<br \/>\nCommence construction on the Azad Jammu &amp; Kashmir site<\/p>\n<p class=\"ds-markdown-paragraph\">Energy analysts note the project&#8217;s completion would not only add 5 billion kWh of annual clean electricity but also establish a legal precedent strengthening Pakistan&#8217;s position in future water disputes with India.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>ISLAMABAD: The developers of Pakistan&#8217;s landmark 1,124 MW Kohala hydropower project have formally requested a two-year extension of their Letter of Support (LoS) until September 2027, citing the need to safeguard the country&#8217;s water rights under the Indus Waters Treaty (IWT). The $2.5 billion run-of-river project on the Jhelum River represents one of Pakistan&#8217;s largest &hellip;<\/p>\n","protected":false},"author":6,"featured_media":3686,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[300,1283,1310],"class_list":["post-3685","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-national-news","tag-diplomacy","tag-energy","tag-investment"],"_links":{"self":[{"href":"https:\/\/youdigital.pk\/en\/wp-json\/wp\/v2\/posts\/3685","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/youdigital.pk\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/youdigital.pk\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/youdigital.pk\/en\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/youdigital.pk\/en\/wp-json\/wp\/v2\/comments?post=3685"}],"version-history":[{"count":1,"href":"https:\/\/youdigital.pk\/en\/wp-json\/wp\/v2\/posts\/3685\/revisions"}],"predecessor-version":[{"id":3687,"href":"https:\/\/youdigital.pk\/en\/wp-json\/wp\/v2\/posts\/3685\/revisions\/3687"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/youdigital.pk\/en\/wp-json\/wp\/v2\/media\/3686"}],"wp:attachment":[{"href":"https:\/\/youdigital.pk\/en\/wp-json\/wp\/v2\/media?parent=3685"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/youdigital.pk\/en\/wp-json\/wp\/v2\/categories?post=3685"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/youdigital.pk\/en\/wp-json\/wp\/v2\/tags?post=3685"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}