ADB approves loan assistance of nearly $1.4b for Pakistan

ISLAMABAD (APP) - The Asian Development Bank (ADB) has approved combined loan assistance of nearly $1.4 billion for two programmes that will help Pakistan resolve some of the key issues in the power sector, allowing it to lift growth, boost incomes, and cut poverty.

According to a statement issued by the Bank on Friday, the $990 million multi tranche Second Power Distribution Enhancement Investment Programme will introduce an Advanced Electricity Metering Infrastructure (AMI) system for power distribution companies across the country, which will help reduce losses, improve revenue collection and load management, and strengthen the financial viability of the sector.

The $400 million loan for the second sub programme of the Sustainable Energy Sector Reform Programme supports ongoing policy reforms, which aim to build an affordable and secure energy sector.

"Nearly 20% of generated electricity is lost due to high technical and commercial losses and measures like the installation of the AMI system are necessary to counter this," said Adnan Tareen, Senior energy Specialist.