Germany is investing pound 27 million to build a new substation at Pakistan’s Gharo Wind Corridor, boosting the nation’s clean energy infrastructure. The German government, via KfW Development Bank, is funding the project, which will be constructed by Siemens Energy in collaboration with the National Grid Company of Pakistan (NGCP). A contract signing ceremony took place yesterday, solidifying the partnership and marking the official commencement of the project.

The substation is critical for transmitting electricity generated by the Gharo Wind Corridor’s wind farms, strengthening Pakistan’s power grid and supporting its shift to sustainable energy sources. This endeavor, part of the PakistanGerman Climate Energy Partnership (PGCEP), aims to overcome existing grid limitations and integrate clean power into the national network.

Beyond its environmental advantages, the project is anticipated to generate employment opportunities, boost local economies, and enhance the stability of Pakistan’s power supply. KfW Country Director Sebastian Jacobi reiterated Germany’s commitment to assisting Pakistan in mitigating climate change effects and expanding access to clean energy for socioeconomic progress.

German Embassy Counsellor Janine Rohwer highlighted the project’s alignment with International Monetary Fund (IMF)backed economic reforms, noting that upgrading the transmission network is part of the costsaving measures Pakistan committed to under the IMF’s Extended Fund Facility. Germany anticipates the successful completion of this IMF program.