NEPRA Approves $58 Billion Power Expansion Plan Despite Major Objections

The National Electric Power Regulatory Authority (NEPRA) has greenlit a $58 billion, 11-year plan for power generation and transmission expansion, dubbed the Integrated System Plan 2025, despite significant objections from its own members. The 45-page decision, subject to the regulator's own comments being addressed, includes 26,045 MW of new generation capacity, with 8,120 MW allocated to net metering.

Transmission investments are estimated at $10.65 billion, encompassing ongoing projects, new expansions, and a 40 MW on-site power plant for the Gwadar and Makran region. However, the plan's low-growth approach assumes average economic growth of 3.52 percent and faces criticism for bypassing the Council of Common Interests, the constitutional body responsible for energy policy and planning.

Major projects' inclusion and exclusion, as well as concerns over consumer tariffs, were key points of contention. NEPRA postponed approval of $900 million in battery energy storage systems until a technical and economic study confirms their necessity and cost-effectiveness.