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EU aid for rural

electrification plan

MULTAN: The European Union (EU) is providing Rs 10 billion financial assistance to Pakistan for electrification of 800 villages in Punjab.

A spokesman of the Mepco (Multan Electric Power Company) said in an interview on Tuesday the European Union is Pakistan's biggest partner in trade and aid in grants.

The EU financial assistance to Pakistan under its existing Development Cooperation Programme is all in grants and as such, EU is the largest donor to Pakistan.

Currently, the development cooperation portfolio is worth over Euro 200 million (Rs 10 billion).

The European Union ambassadors, mostly accompanied by their wives, will be in Multan on a 2-day (March 28-29) official tour.

The spokesman said the purpose of their visit is to see progress of the EU-financed rural electrification programme in Punjab which upon completion of its phase II will have electrified 800 villages.

The euro 10 million (Rs 500 million) phase I of the rural electrification programme benefitted 300 villages with a population of 250,000 people in Faisalabad and Gujranwala districts.

The ambassadors will participate in the inauguration of the electrification of a village in Khanewal district on March 29.

The euro 25 million (Rs 1.25 billion) rural electrification project phase II will improve the livelihood of a further 500,000 villagers living in Multan, Vehari, Sahiwal, Bahawalpur and Dera Ghazi Khan districts of the southern Punjab.

The Mepco spokesman said the projects of the EU are implemented in close coordination with its member states who take a keen interest in EU-financed activities/projects due to their financial contribution to the EU's budget managed by the European Commission.

The EU members states are therefore kept informed about development in the EU-financed projects in Pakistan, the spokesman added.ÑAPP