US to invest $375M in Pakistan wind project

AES Corporation will develop a 150MW wind project worth US$375 million in Pakistan’s Gharo Corridor.

According to the Wind Power Monthly, Te US special representative for Afghanistan and Pakistan, Richard Holbrooke, and Pakistani water and power minister Javed Iqbal were among those signing an agreement between the governments of US and Pakistan.


The US Embassy in Islamabad said the project would reduce Pakistan’s dependence on fuel imports and save Pakistanis $45 million a year.

The Pakistani government and AES will invest in the project, leveraging a loan from the US Overseas Private Investment Corporation , a US agency that sells foreign investment services.

Pakistan will own a minority stake through a grant from the US Agency for International Development. These shares will be privatised over time, with the proceeds financing future energy projects.

AES country director Iqbal Sheikh and US Agency for International Development Pakistan mission director Andrew Sisson also signed the agreement.

"This project represents a meaningful, environmentally sound step toward addressing Pakistan’s energy crisis,” said Holbrooke. "Partnership with the private sector will also demonstrate the potential of investing in the power sector in Pakistan."