World Bank approved $425 million for National Transmission Modernization Project-I (NTMP-I) in Pakistan.

Impression:

Back in July, PTR wrote about dominance of Chinese manufacturers in Pakistan’s T&D market, and potential opportunities for non-Chinese manufacturers. Due to the extensive investment and funding from China (a total of $35B) for power projects in Pakistan through China Pakistan Economic Corridor (CPEC), Chinese manufacturers are providing the equipment and services for these projects. Chinese companies are already working on seventeen (17) power generation projects and one (1) HVDC transmission line project in Pakistan.

 

Chinese projects in Pakistan under CPEC.

Source: CPEC, Power Technology Research

As mentioned in the previous impression, there is still some room for non-Chinese manufacturers. This world bank approval of $425M is a big step in this direction. World Bank funded projects are awarded through open tenders, which will give an opportunity to non-Chinese suppliers, especially western manufacturers, to compete on equal footing.

This committed amount of $425M from World bank will be used to finance a big part of National Transmission Modernization Project-I (NTMP-I) which has a total cost of $536M. NTMP-I is the first of a series of transmission investments the World Bank expects to support in the region. The project will support investments in high-priority transmission infrastructure, information and communication technology (ICT), and technical assistance (TA) for improved management and operations. It is divided in to three major components:

1. New-additions and expansion of 765kV, 500kV and 220kV substations and transmission lines ($456M)

2. Deployment of Enterprise Resource Planning (ERP) system as part of ICT infrastructure modernization ($29M)

3. Project management, technical assistance and capacity building work ($20M)

Power Technology Research will continue to update transmission equipment market in Pakistan as part of our Grid Coverage for substation equipment and HVDC projects. If you have any questions regarding Pakistan’s T&D market, or overall manufacturing landscape in Asia, please feel free to reach out to hassan.zaheer@powertechresearch.com.

Link to press release: here

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