The $ 1.5-billion project is the second power project under the China Pakistan Economic Corridor (CPEC), for which an agreement has been signed in the last two months.
Last week, Pakistan and China signed an agreement for the 700 MW Azad Pattan hydel power project on the Jhelum river in Sudhoti district of Pakistan Occupied Kashmir (PoK).
The $ 1.5-billion project is the second power project under the China Pakistan Economic Corridor (CPEC), for which an agreement has been signed in the last two months. The first agreement, for the 1,100 MW Kohala project, was signed on June 23. That project, worth $ 2.3 billion, too will come up on the Jhelum near Muzaffarabad.
Azad Pattan hydel project
The agreement, signed on July 7, is not yet in the public domain. According to the EPC (Engineer, Procurement and Contract) agreement, the project is a run-of-the-river scheme with a reservoir located near Muslimabad village, 7 km upstream from the Azad Pattan bridge, in district Sudhnoti, one of the eight districts of PoK.
According to the details in the 2017 agreement, the construction of the project, which was first proposed in 2002, will take 69 months, and the project will be commissioned by 2024. The project will comprise a 90-metre-high dam, with a 3.8 sq km reservoir.
Gezhouba set up a special purpose joint venture with the Laraib Group, a Pakistani renewable energy developer. The JV is called Azad Pattan Power Private Ltd Corporation, and it will develop the project on the ‘build, own, operate, transfer’ (BOOT) model. The project will be transferred to the government of Pakistan after 30 years.