Balakot: The Balakot Hydropower Project in Khyber Pakhtunkhwa has achieved a major breakthrough as the Kunhar River was successfully diverted, marking the beginning of the main phase of dam construction.

The 300-megawatt project, being developed by the Pakhtunkhwa Energy Development Organization (PEDO) in partnership with China Gezhouba Group Company Limited (CGGC), is the largest hydropower initiative under the provincial government. Estimated to cost over $750 million, it is expected to be completed by 2030 and will produce about 1.144 billion units of clean energy annually, enough to power 1.8 million people and generate Rs20 billion in yearly revenue for the province.

Built on the Kunhar River near Balakot, the project includes a 49-meter-high dam, a 9.1-kilometer headrace tunnel, and an underground powerhouse housing three 100MW Francis turbines. The successful river diversion now allows engineers to begin full-scale dam construction.

A ceremony marking the diversion and closure of the river was held at the site on October 25, where CGGC representative Mao Huigang described the achievement as a significant step in China-Pakistan cooperation under the Belt and Road Initiative (BRI). “The Balakot Hydropower Project stands as a symbol of China-Pakistan friendship,” Mao said, adding that it has already created over 2,000 local jobs and boosted regional industries.

PEDO CEO and Project Director Habibullah Shah commended CGGC’s technical expertise and said the project was being executed under provincial supervision with financial assistance from the Asian Development Bank (ADB) and the Asian Infrastructure Investment Bank (AIIB). He said the milestone represents a major step toward sustainable energy and economic self-reliance for Khyber Pakhtunkhwa.