Pakistan and Germany have signed a financing agreement for Hydropower and Renewable Energy Phase-II worth Rs. 2,145.29 million.
Muhammad Hammad Azhar, Federal Minister for Economic Affairs, witnessed the signing of the agreement. Dr. Syed Pervaiz Abbas, Secretary Economic Affairs Division and Wolfgang Moellers Country Director German Development Bank (KfW) signed the agreement.
KfW will provide grant assistance worth €12.5 million to the government of Gilgit-Baltistan and the Agha Khan Rural Support program. The project has two components i.e the hydropower component that will be implemented by the water & power department of the government of Gilgit-Baltistan and, the biodiversity component which will be implemented by the Agha Khan Rural Support Program.
The implementation of HRE-II in Gilgit-Baltistan will provide electricity for the population of Hunza and Nagar through the utilization of its abundant water resources, which will improve the living standards and livelihoods of the local population.
Muhammad Hammad Azhar thanked the German government for the grant assistance which will be helpful in addressing the increasing energy needs of the region while employing environment-friendly solutions. He said that these initiatives are truly commendable as they are geared to impact the lives of the common man. The government of Pakistan values the support of the German government to invest in such schemes and looks forward to future cooperation.
Wolfgang Moellers, Country Director KfW said that soon the population of Gilgit-Baltistan will have access to green and sustainable energy, which will contribute towards the socio-economic uplift of the masses. This will also help to create more jobs and promote tourism in the area.