The USD 4-billion plant will take seven years to start generating power.
The first payment from the USD 1 billion allocated for the project in the current budget has been released by the government to the Pakistan Atomic Energy Commission (PAEC), The Express Tribune reported.
The funds are being used to initiate development work on the project.
Prime Minister Nawaz Sharif will inaugurate the plant at a later date as part of the Karachi Coastal Power Project, which envisages the setting up two nuclear reactors of 1,000 MW each.
The PAEC has set a target of producing 8,800 MW with nuclear power plants by 2030.