The Balakot Hydropower Project is designed as a run-of-river scheme and is slated to be built on the Kunhar River.^[3] Its primary objective is to generate clean energy and alleviate the demand-supply disparity in Khyber Pakhtunkhwa and nearby areas.^[4] The project is anticipated to yield a power generation capacity of 300 MW, contributing to a significant average annual energy production of 1143 GWh.^[3][5]

The Balakot Hydropower Project is a joint venture financially supported by both the Asian Development Bank and the Asian Infrastructure Investment Bank. The overall funding for this venture amounts to US$550 million, with the Asian Development Bank providing US$300 million, and the Asian Infrastructure Investment Bank contributing US$250 million.^[3][6][7]

The Balakot Hydropower Project encompasses various key components, foremost being the construction of a 58-meter-high gravity concrete dam along with associated appurtenant structures. The project also involves river diversion works, a sediment bypass tunnel, and a comprehensive power circuit. The power circuit infrastructure comprises a power intake, a concrete-lined headrace tunnel, an upstream surge shaft, steel-lined pressure shafts and penstocks, a downstream surge shaft, and a concrete-lined tailrace tunnel. Additionally, the project includes a cavern-type powerhouse that accommodates three Francis turbines, collectively offering an installed capacity of 300 MW. This powerhouse is equipped with access tunnels and an exterior switchyard for efficient functioning.^[8][9][10]