Korea Hydro & Nuclear Power (KHNP) has secured an exclusive right to develop and operate hydroelectric power plants in Pakistan.
KHNP concluded a memorandum of understanding (MOU) with the Energy and Power Department of Khyber Pakhtunkhwa Province in Pakistan on the Lower Spat Gah hydroelectric power plant project at the provincial government office on Nov. 5 (local time).
The provincial government granted KHNP exclusive rights to build and operate the power plant.
The Lower Spat Gah hydroelectric project involves building and operating a large hydroelectric power plant with a capacity of 496 megawatts. The power plant will be completed in 2026. KHNP concluded a long-term power purchase agreement (PPA) with Pakistan's state-owned power transmission and distribution company, thereby securing the operation right to make profits for 30 years.
To this end, KHNP will establish a corporation for the project jointly with the Khyber Pakhtunkhwa Provincial Government. The Asian Development Bank (ADB) and other international financial institutions will finance the project.