Government of Gilgit-Baltistan Signs Agreement with NPAK Energy to Take Over Electricity Operations in Hunza from 2026

Daily Kausar | Gilgit

The Government of Gilgit-Baltistan has signed a landmark set of agreements with NPAK Energy Limited, a subsidiary of Industrial Promotion Services (IPS), marking the region’s first major public–private partnership in the energy sector. With this development, the energy landscape of Hunza is set for a major transformation.

Under the agreement, NPAK Energy will officially take over electricity generation, transmission and distribution in Hunza as a government-approved utility operator starting 1 January 2026. This step represents a significant milestone in operationalising the long-term partnership outlined in the original 2020 concession agreement.

Gilgit-Baltistan signs a historic energy partnership with NPAK Energy to manage Hunza’s power system from 2026. ⚡

According to the partnership structure, the Government of Gilgit-Baltistan will maintain ownership of all energy assets in Hunza, while operational control will be handed over to NPAK Energy for a period of 30 years. The primary objective is to ensure reliable, affordable and uninterrupted 24/7 electricity for all residents — supporting tourism, economic growth, public services and overall quality of life in the region.

Work is also ongoing on the Gilgit-Baltistan Energy Master Plan, which will guide future investments and explore opportunities to expand the public–private partnership model across the province.

Backed by IPS’ global expertise in clean energy and utility management, NPAK Energy will upgrade Hunza’s power generation capacity,strengthen transmission and distribution networks and enhance operational efficiency.
The company will also launch a comprehensive Corporate Social Responsibility (CSR) programme, focusing on:

Community development
Environmental protection
Youth skill development
Local social initiatives

NPAK Energy reaffirmed that all current employees of the Water and Power Department working in Hunza will retain their positions. This ensures stability for workers and their families. The company will also invest in modern systems, professional training and capacity building to support a safe and efficient workplace environment..

Through this agreement, the Government of Gilgit-Baltistan and NPAK Energy have renewed their commitment to strengthening energy access, improving service delivery and supporting regional development. This partnership is expected to reshape Hunza’s power sector and serve as a model for clean, efficient and climate-resilient utility operations in northern Pakistan.

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