GILGIT: A €54.24 million (Rs17.2 billion) rural development and climate resilience project has been launched in Gilgit-Baltistan, targeting basic services, infrastructure and renewable energy across the region.

The Gilgit-Baltistan Rural Development and Climate Resilience project is being supported through financing from Agence Française de Développement, a European Union grant, Aga Khan Foundation funding and community contributions. The Aga Khan Foundation’s announcement independently details the planned beneficiaries, water schemes, hydropower and housing improvements.

The programme is expected to reach around 43,200 households, or approximately 325,600 people, across all districts of Gilgit-Baltistan.

Its planned interventions include climate-resilient infrastructure, improved basic services, renewable energy and measures to strengthen institutional capacity.

The project includes 216 water and sanitation schemes, among them 117 drinking-water supply schemes and 30 sanitation projects. Hydropower initiatives are expected to generate between 1,200 and 1,300 kilowatts of clean energy.

Vulnerability assessments are also planned across all 110 union councils, while 3,000 households are to receive green retrofits and another 700 households will be supported with energy-efficient and climate-resilient construction.

The programme was formally launched on Tuesday, with an agreement signed at the Gilgit-Baltistan Chief Minister’s Secretariat.

The initiative comes as mountain communities face growing exposure to climate-related hazards, including flooding, glacial risks and pressure on local infrastructure. The project’s focus on water systems, energy and resilient construction is intended to improve communities’ capacity to cope with those pressures.

A separate 30-year Gilgit-Baltistan Energy Master Plan was also presented during the event, setting out a longer-term roadmap for the region’s power system.

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