Govt Dismisses Reports Of 4,500MW Diamer-Bhasha Project Cancellation.
✧ GENERATE BRIEFING +
The government has formally rejected media reports claiming that Pakistan has canceled the 4,500-megawatt power-generation component of the Diamer-Bhasha Dam, dismissing the reports as completely false and misleading. The Ministry of Economic Affairs and the Power Division clarified that the strategic mega-project remains a top national priority, encompassing both vital water storage and hydropower generation facilities. The clarification was issued following media speculation sparked by a leaked internal document from the Economic Affairs Division. Both ministries confirmed that planning and execution are continuing in close coordination with WAPDA, and the hydropower component remains an integral part of both current and future Indicative Generation Capacity Expansion Plan (IGCEP) frameworks. Situated on the Indus River approximately 40 kilometers downstream of Chilas, the Diamer-Bhasha Dam is designed to provide massive water-storage capacity alongside its 4,500MW power generation capacity, reinforcing national water and energy security despite facing previous cost escalations and timeline adjustments pushed to 2030.
The government has rejected reports that Pakistan has cancelled the 4,500-megawatt power-generation component of the Diamer-Bhasha Dam, calling the reports “false and misleading.”
The Ministry of Economic Affairs said the Diamer-Bhasha Dam remains a national priority project, covering both water storage and hydropower generation. It clarified that the government has not cancelled the power facilities and that planning is continuing with WAPDA and relevant ministries.
The clarification followed reports based on a leaked internal document from the Economic Affairs Division that claimed the hydropower component had been cancelled.
The Power Division also rejected the claim, saying the Diamer-Bhasha generation component remains a committed project in both existing and future Indicative Generation Capacity Expansion Plan (IGCEP) documents.
The government said it remains committed to completing the dam, including its hydropower facilities, as part of efforts to strengthen Pakistan’s water and energy security.
The Diamer-Bhasha Dam is being constructed on the Indus River, around 40 kilometres downstream of Chilas. The project is designed to provide substantial water-storage capacity alongside 4,500MW of installed power-generation capacity.
The project has faced significant cost and timeline pressures. In February 2026, its expected completion was pushed to 2030, while the dam component’s estimated cost has also increased substantially from its original approval.
