BEST-PAK MPA Program Phase 1: Grid Stability Enhancement Project (WB-P504536)

Regions
  • Middle East and North Africa
Geographic location where the impacts of the investment may be experienced.
Countries
  • Pakistan
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • World Bank (WB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
B
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Jul 9, 2026
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
Government of Pakistan - Ministry of Energy- Power Division; National Grid Company of Pakistan (NGC)
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Energy
  • Infrastructure
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 375.90 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 695.30 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Bank Documents
Other Related Projects
Primary Source

Original disclosure @ WB website

Updated in EWS Oct 9, 2026

Disclosed by Bank Jul 4, 2025

Contribute Information
Can you contribute information about this project?
Contact the EWS Team

Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to the Bank’s website, the objective of this project is to strengthen transmission system stability and enhance operational performance.

The BEST Pakistan (BEST-PAK) program is structured as a vertical MPA, consisting of multiple IPF operations designed to support critical investments in domestic transmission infrastructure, while advancing sector reforms and institutional capacity building to unlock the potential of the power sector. The proposed BEST-PAK vertical MPA accelerates the TSEP's critical transmission investments, including through PPPs, and advances NTDC's restructuring. The proposed BEST-PAK MPA will be implemented over 10 years (FY26-35).

The MPA framework consists of two complementary program areas that lay the groundwork for a well-performing power transmission system and institutions:
* Program Area 1, Strengthening Transmission Infrastructure: With a focus on financing hard infrastructure, projects in this area aim to advance power transmission development and modernization, including high-voltage transmission lines, substations, reactive power supply and control equipment, and battery energy storage systems. BEST-PAK MPA's four simultaneous phases support TSEP investment requirements for both immediate-priority projects required to alleviate critical bottlenecks, and medium- to long-term projects for more reliable and resilient grid.
* Program Area 2, Advancing Transmission sub-sector Reform and Institutional Capacity Development: This focuses on supporting the implementation of NTDC restructuring and strengthening institutional capacity. TAs support is offered at the project level (design, preparation, implementation) and mobilizing global knowledge to enable the transition to well-functioning transmission institutions and a sustainable transmission subsector development that attracts private investments.

The preparation for subsequent phases will be supported under Phase 1 operation. The program will leverage lessons learned and insights gained from earlier operations to inform the design of future phases and facilitate the dissemination of successful practices across operations. In parallel, targeted support for creating an enabling environment and strengthening institutional capacity will be instrumental in ensuring efficient project preparation and implementation.

The BEST-PAK is planned to be implemented in four phases/operations, each with its own technical assistance (TA) for preparation and implementation support. The first two phases (and potentially Phase 3 planned to be the first competitive PPP transmission line through a One WBG approach ) will focus on addressing the most urgent and critical transmission bottlenecks.

The Government of Pakistan has requested funding support for these projects with the Bank leading the coordination with MDBs and private sector (in close collaboration with IFC and MIGA). In particular, Phase 1 will finance the installation of reactive power compensation devices (i.e., STATCOMs) in selected existing substations to enhance grid stability, along with associated TA, and support NTDC's reforms. The subsequent phases will target projects aimed at further strengthening the national transmission system to enhance reliability and enable greater integration of renewable energy.

Early Warning System Project Analysis
For a project with severe or irreversible impacts to local community and natural resources, the Early Warning System Team may conduct a thorough analysis regarding its potential impacts to human and environmental rights.

The Environment and Social risk for the proposed MPA is rated as Substantial, given the typical E&S risks associated with transmission investments under all program phases. The Environment and Social risk classification for Phase 1 activities is considered Moderate.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

Total Project Cost: US$ 695.30 million
IDA Credit + IBRD Commitment: US$ 375.90 million


Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

CONTACT POINT - World Bank

Task Team Leader: Waleed Saleh I. Alsuraih
Title: Lead Energy Specialist
Email: walsuraih@worldbank.org

ACCESS TO INFORMATION

To submit an information request for project information, you will have to create an account to access the Access to Information request form. You can learn more about this process at: https://www.worldbank.org/en/access-to-information/request-submission

ACCOUNTABILITY MECHANISM OF THE WORLD BANK

The World Bank Inspection Panel is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by a World Bank-financed project. If you submit a complaint to the Inspection Panel, they may investigate to assess whether the World Bank is following its own policies and procedures for preventing harm to people or the environment. You can contact the Inspection Panel or submit a complaint by emailing ipanel@worldbank.org. Information on how to file a complaint and a complaint request form are available at: https://www.inspectionpanel.org/how-to-file-complaint

How it works

How it works