IFC has an active project with Karot Power Company Limited (KPCL), a special-purpose vehicle incorporated in Pakistan and majority-owned by China Three Gorges South Asia Investment Limited (CSAIL). The project involves providing a long-term corporate loan facility of up to US$100 million to support the construction, operation, and maintenance of a 720MW run-of-the-river hydropower plant being developed on the Jhelum River in Pakistan. Construction began in January 2016, with Three Gorges Technology and Economy Development Co., Ltd. (TGDC) as the engineering, procurement, and construction contractor. The project achieved commercial operations on June 29, 2022.

In February 2026, CAO received a complaint from a former employee of TGDC who was working at KPCL’s facilities. The complaint raises concerns related to retaliatory dismissal without compensation after submitting an internal complaint, ineffective functioning of KPCL’s grievance mechanism, and restrictive security protocols for entry and exit to KPCL site. 

In March 2026, CAO found the complaint eligible and initiated an assessment.