ISLAMABAD: The European Union (EU) is keen on investing in the power sector in Pakistan, particularly the Munda dam, and the development of micro hydel projects in far-flung areas of the country to help resolve the energy crisis.

Head of the EU delegation in Pakistan, Ambassador Lars-Gunnar Weigmark held a meeting with Minister for Water and Power Syed Naveed Qamar here on Thursday and briefed him on EU’s country programme for Pakistan. The programme entails rural development, good governance and efficient use of water for energy and agriculture as priority areas.

Ambassador Weigmark said that the EU has planned to establish community-based hydro projects in 1,000 Union Councils of Malakand and small hydro-power plants in Northern Areas and Khyber-Pakhtunkhwa.

The EU has also granted 70 million euros for the rehabilitation and upgradation of two power plants in Multan and Faisalabad, while 30 million euros have been allocated for small hydro plants in northern areas.

A programme of solar pumps has also been designed for Balochistan. Some of the countries under the EU commission were already funding several water and power and energy conservation projects individually or with the collaboration of donors in Pakistan, he said.

Qamar thanked the EU ambassador and said that the energy sector in Pakistan held major potential for investment. He said that the proposal for establishing small hydro projects in Northern Areas and KPK will be expedited.

Qamar further asked the EU delegation to also consider bio-fuel projects, anti flooding and alternative energy generation projects.