PoJK’s failed Neelum-Jhelum hydropower project wastes billions

In Pakistan-occupied Jammu and Kashmir (PoJK), the Neelum-Jhelum Hydropower Project, once touted as a monumental step toward energy self-sufficiency, has turned into a costly failure.

Despite billions of dollars in investment from the national treasury, the project has failed to meet its expected energy output, leaving local communities without the promised benefits.

Voicing concerns about the wasted resources, Faisal Jameel, a local resident, said, “Five to six billion dollars have been spent, and if we consider inflation, the amount will increase significantly. Yet, no electricity is being generated. This is causing a loss to the entire country. What inquiries have been made? Who is responsible for this? No one seems to know. This is such a mega project that the entire country should think about it, as ultimately, where is the 1000 MW going?”

The Neelum-Jhelum project, initiated with hopes of alleviating the energy crisis, has instead raised questions regarding its design and implementation. Experts argue that the project’s scale and execution were poorly planned, leaving it incapable of generating the expected 1,000 MW of electricity.

Faisal Jameel said, “The authorities should have focused on smaller projects of 1, 2, or 3 megawatts in this entire region. Private investors could have been brought in from abroad, and the work could have been done more efficiently. The areas near Neelum, Jhelum, and the entire region have rivers and streams, which could have been utilised for smaller projects. Unfortunately, this approach was ignored. Locally, only 80 MW is being generated, and even that doesn’t function during the winter season.”

The Neelum-Jhelum Hydropower Project, which began as a promising initiative to harness the potential of the Neelum River, has now become a symbol of mismanagement and wasted resources. Despite years of construction delays, repairs, and reengineering efforts, the project still fails to meet expectations. Locals remain frustrated, questioning why such a grand plan has resulted in only marginal power generation.

The project’s construction began in 2008, with an initial completion date set for 2016. However, frequent delays due to geological challenges, design flaws, and cost overruns extended the project timeline significantly. By the time it was officially completed in 2018, the project faced operational difficulties.

Further repairs were required, pushing the expected power generation further out of reach. The Neelum-Jhelum project, despite its initial promise, has become a cautionary tale of how inadequate planning, poor execution, and lack of accountability can turn an asset into a burden.