In 2008 Pakistan signed $329 million contract with Chinese company to construct the Nandipur Power Project. But, in 2010 the machinery for the project stuck at the Karachi Port. In 2012 the company terminated the contract and demanded $40 million compensation. In June 2013, the new government renegotiated the contract to resume work. And the cost for the project rose from $329 million to $574 million due to four year delay and machinery depreciation and damages.

Prime Minister Nawaz Sharif inaugurated the first turbine of the project on 31 May 2014, but the Plant went out of order after a few days of its inauguration.

Finally, Nandipur power plant became operational in October 2015, and is running at full capacity, and 425 MW of electricity is being generated.