KHYBER Pakhtunkhwa was the first to take an initiative to set up a hydropower facility above the federal ceiling of 50MW capacity allowed for the provinces. This has been followed by the Punjab government which has recently launched a 200MV coal-fired power plant in the province.

Apparently, the strategy has paid off, as construction of more hydropower projects of capacity exceeding 50-MW each are planned by the provincial government, without any hindrance from the federal government.

In total, there are 13 hydropower stations in the province, (other than Wapda power stations of total 3,762 MW installed capacity including Tarbela and Warsak), which are categorised as medium, small and mini, of cumulative capacity of 86 MW. Other hydropower stations being operated by the provincial government are Pehur (Swabi) of 18-MW, Reshun (Chitral) of 4.2-MW and Shishi (Chitral) of 1.8-MW capacity.

Malakand-III and Pehur are connected to the national grid, while others supply electricity to remote areas that are not linked with Wapda/NTDC system. The remaining power stations are operating in the private sector, either as the IPP or on lease from the provincial government.

Hydropower generation is the best available option in the present conditions of current energy crisis and ensuring energy security, as it is sustainable, reliable, clean and low-cost. KP has large hydropower potential, with 142 identified sites having economic viability of developing projects to generate additional 24,689 MW.

There are 13 projects of cumulative capacity of 8,152 MW under construction by Wapda. There are another eight IPP projects, of various capacities ranging from 132 MW to 840 MW, being implemented by the private sector through the PPIB, under the Power Policy 2002.

Likewise, the province has launched an ambitious programme for generating 2,036-MW electricity, to be implemented phase-wise. Most of these are run-of-the-river type projects with high, medium and small water heads, some with small daily water storage for peaking. An amount of about Rs700 million has been allocated in 2010-11 Annual Development Plan (ADP) for six ongoing projects and ten new schemes, whereas construction of three projects and preparation of feasibility studies for 15 schemes is to be initiated during the period.

In the next phase, seven projects of cumulative capacity of 509 MW will be constructed, all of above 50-MW capacity each that is mandated otherwise to be developed by the federal government. These include 210-MW Naran (Mansehra), 115-MW Sharmai (Dir), 84-MW Matiltan (Swat) and 65-MW Batakundi (Mansehra) projects. Sarhad Hydro Development Organisation (SHYDO), responsible for implementing the provincial government's Policy for Hydropower Generation Projects 2006, has been successful in attracting significant investment through the domestic private sector.

Various hydropower projects are at different stage of execution. An IPP has developed Machai-I (Mardan) of one megawatt capacity. SHYDO has developed and leased out three projects to the private sector, namely; Ashuran (Swat) of 0.4 MW, Kalam (Swat) of 0.2 MW and Damori (Shangla) of 0.1 MW. Another six projects, completed and to be leased out to the private sector shortly, include Thal (Dir) 0.4 MW, Karora (Shangla) 0.2 MW, Keyal (Kohistan) 0.2 MW, Kaghan (Mansehra) 0.2 MW, Duber (Kohistan) 0.15 MW and Jalkot (Kohistan) 0.15 MW capacity.

Two major projects under construction by SHYDO are 13.2 MW Mahandri and 12.54 MW Tangar, both located in Mansehra District. Other projects for which detailed feasibility reports have been finalised are 34-MW Barikot Patrak (Dir), 26-MW Shigo Kach (Dir), 24-MW Arkari Gol (Chitral), 21-MW Patrak Shringal (Dir), 18-MW Koto (Dir), 14-MW Ghor Band (Shangla), 10-MW Nandihar Khwar (Batagram), 8-MW Jabori (Mansehra) and 7.5 MW New Karora (Shangla). These projects are being offered to the private sector for development. In addition, pre-feasibility studies are being conducted for Mastuj, Chitral (8.9 MW), Bhimbal Katha, Mansehra (8MW), Lilauni-Alpuri, Shangla (7 MW) and Nilada Katha, Mansehra (6 MW).

Three projects, Sammar Gah (Kohistan) of 28 MW, Tank Zam (DI Khan) of 25.5 MW and Batal Khwar (Swat) of 8 MW, are being offered to the private sector on BOOT basis, with 50-years concession period.

Feasibility studies for these projects are to be carried out by the prospective IPPs. Also, there are 77 raw sites with potential of developing projects below 50-MW capacity, located in Chitral, Kohistan, Dir, Kaghan, Swat and Mansehra districts. Two sites identified in Mansehra District have prospects of developing and generating 13.5 MW (Bimal) and 5 MW (Birkhal).

The Asian Development Bank (ADB) has played an important role in the successful development of hydropower in the province by extending technical and financial assistance to the provincial government. Currently, ADB is financing Daral Khwar (Swat) of 36.6-MW capacity, Ranolia (Kohistan) of 11.5-MW and Machai (Mardan) of 2.6-MW, proposed to be connected with national grid. The projects are under construction. The ADB investment programme is first of its kind in Pakistan. Feasibility studies for these projects, covering environmental and resettlement aspects too, were also undertaken under ADB financing.

The ADB under its Renewable Energy Development Programme is financing preparation of feasibility reports of another three hydropower projects, 18-MW Koto (Dir), 8-MW Jabori (Mansehra) and 7.5-MW New Karora (Shangla) to be constructed in the province. Indeed, development of the planned hydropower projects will open new avenues for economic development in Khyber Pakhtunkhwa, resulting in improving standard of living of the populace in not too distant a future.