765kV transmission line under Dasu hydropower project: World Bank’s Inspection Panel to examine complaints

ISLAMABAD: The World Bank’s independent Inspection Panel will visit Pakistan from November 2-10, 2026, to examine complaints by 15 individuals from two villages in Punjab over alleged inadequate compensation, massive devaluation of ancestral land and safety risks associated with the construction of over USD 700 million 765 kilovolt transmission line under the Dasu Hydropower Project.

The complainants have alleged that the transmission line passing through their ancestral farmlands in the Tanda area of Punjab has caused significant and long-term damage to their families and other members of the community.

The Request for Inspection, submitted on July 24, 2026, relates to the World Bank-financed Additional Financing for the Dasu Hydropower Stage-I Project for Construction of a Transmission Line (P167843).

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According to the complaint, the compensation offered for land acquired for the project is inadequate, while restrictions imposed under the transmission line’s Right of Way (RoW) corridor have substantially reduced the economic value and future development potential of the remaining land.

The complainants maintain that the RoW restrictions prohibit construction of buildings and other structures and limit tree height to 2.5 metres. These restrictions have reportedly resulted in an estimated 80 percent devaluation of their land, effectively preventing affected families from implementing their plans to construct residential houses and establish a dairy farm.

The request has also raised serious safety concerns, particularly for children, over the proximity of the high-voltage transmission line to residential areas, agricultural land and commercial properties.

In addition, the complainants have questioned the adequacy of consultations conducted during project preparation and the disclosure of project-related information, particularly in connection with the preparation and disclosure of the Resettlement Action Plan.

The World Bank Inspection Panel has already completed its initial due diligence, including meetings with the complainants on August 21, 2026, and World Bank Management on August 26, 2026.

Following its preliminary assessment, the panel determined that the request met all applicable admissibility criteria and registered the complaint on September 11, 2026.

The panel’s forthcoming visit is part of the eligibility assessment, an early stage of its procedures during which it meets relevant stakeholders and examines documentary information to determine whether a full investigation is warranted.

In a letter dated October 27, 2026, World Bank Country Director for Pakistan Bolormaa Amgaabazar sought a meeting with the Ministry of Energy (Power Division) on November 5, from 3:00 pm to 4:00 pm, to understand the broader context of the project and obtain the government’s perspective on the issues raised in the complaint.

The Inspection Panel delegation will be headed by its Chairperson, Ibrahim James Pam, and include Serge Selwan, Senior Policy Officer; Dion Lorenz Romano, Research Analyst; and Margaret Seijo Scotti, Safeguards Analyst.

The panel has also sought meetings with the Ministry of Economic Affairs, Ministry of Energy, National Grid Company (NGC) and other relevant government officials and agencies. It will separately meet other project stakeholders during its November 2-10 visit.

The World Bank has clarified that the Inspection Panel is an independent complaints mechanism for individuals and communities who believe they have been, or are likely to be, adversely affected by a Bank-financed project. It functions as an impartial fact-finding body, independent of World Bank Management and complainants, and reports directly to the Bank’s Board of Executive Directors.

The panel does not investigate member-state governments or their agencies.

The Requesters have not sought confidentiality but have expressed concerns about possible retaliation following the filing of their complaint.

The Dasu Hydropower Project is a major hydropower initiative designed to expand Pakistan’s electricity supply through renewable energy and improve access to socio-economic services for communities in the project area, while strengthening WAPDA’s capacity to prepare future hydropower projects.

The first stage envisages installation of a 2,160-megawatt hydropower plant on the Indus River, with the potential for further expansion in subsequent stages.

In April 2020, the World Bank approved an additional credit of USD 700 million to finance construction of the high-voltage transmission infrastructure required to evacuate electricity generated by the project.

The transmission component includes a 255-kilometre-long, 765 kilovolt high-voltage alternating current (HVAC) transmission line connecting Dasu Hydropower Project Stage-I with the Islamabad West Substation, alongside construction of a substation at Mansehra.

The overall project is aimed at providing low-cost, non-carbon renewable electricity, with the World Bank describing it as a high-risk, high-reward operation.

The eligibility assessment does not mean that a full investigation has been approved. The Inspection Panel will examine the issues raised, meet relevant stakeholders and develop a recommendation on whether a formal investigation is warranted.

The World Bank has requested early mission clearance to facilitate preparations for the delegation’s visit.

Copyright Business Recorder, 2026