Energy demand in the country is increasing at rate of 8 to 10 % per annum. The gap between demand and supply has always been increasing. In the last decade, Government of Pakistan opted to induct thermal power generation in to WAPDA system to meet the energy shortage in the country which resulted into unbearable electricity tariff. The answer to this problem lies in the exploitation of indigenous resources of the country, like hydel, solar, wind biomass.

Punjab is fortunately endowed with Hydel Power on canal falls/barrages which is predominately low head with high volume of discharge. In the past, the hydel potential on canal falls/barrages could not be exploited due to non availability of cost effective technology for low heads. With the recent technological development, it is now possible to exploit the potential on canal and barrages.

Under Power Generation Policy, 2002 announced by Government of Pakistan, Punjab Government has introduced its Power Generation Policy, 2006 and has also established Punjab Power Development Board (PPDB) for its implementation. Punjab Power Development Board will provide One Window Facility to the Private Investors for development of project based on any technology like Hydel, Thermal, Wind, Solar and Biomass. Private Investors are invited to invest in the Power Project to meet the energy shortage in the Province. Any private investor may follow the detailed procedure outlined in the Policy, 2006.