67640
               Pakistan: Tarbela Fourth Extension Hydropower Project
                              Specific Investment Loan

                             SUMMARY OF DISCUSSION

                             Meeting of Executive Directors

                                      March 20, 2012


        Executive Directors approved a Tarbela Fourth Extension Hydropower Project
Loan and Credit for the Islamic Republic of Pakistan in the amount of US$440 million
equivalent (IDA Credit) and US$400 million (IBRD loan) respectively on the payment
terms and conditions set out in the President’s Memorandum (R2012-0036 [IDA/R2012-
0044]).

         Directors expressed support for the Project to facilitate a sustainable expansion of
Pakistan’s electricity generation capacity and help shift the mix away from imported fuel
oil for thermal generation towards low-carbon, least-cost renewable hydropower
generation. More broadly, Directors emphasized the importance of moving in parallel in
addressing critical energy sector reforms. Directors also particularly encouraged focus on
efficiency and transparency in procurement and financial management, promoting good
governance more broadly, as well as careful implementation of the Social Action Plan to
deal with outstanding resettlement issues. Finally, Directors urged close monitoring,
given the range of risks facing the project’s implementation.





 This summary is not an approved record.