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Iran to supply 10000 mw of electricity to Pakistan

Iran Materials 25 October 2011 17:57
Iran proposed an electricity supply project which will provide Pakistan with 10,000 megawatts in the second year of its operation.

Iran proposed an electricity supply project which will provide Pakistan with 10,000 megawatts in the second year of its operation, Fars News Agency reported.

The quantity is more than the production of independent power producers in Pakistan and almost half the country's total production capacity.

Under an extensive package to resolve the energy crisis, Iran has also offered to build an oil pipeline and set up a refinery at Gwadar Port to provide oil on long-term deferred payment.

The country's power production ranges between 5,000 megawatts and 14,800 megawatts against total installed capacity of 20,800MW. Internationally, 80 per cent power can be generated from the total installed capacity but Pakistan's generation capability stands at 65 per cent due to inadequate upgrading of plants, poor maintenance and circular debt.

Under a plan submitted to the Islamabad government, Iran will provide 1,000MW of electricity in the first year of the program and increase it nine-fold to 10,000MW in the second year, sources said.

Iran made the offer during President Asif Ali Zardari's visit to Tehran on July 15. During the tour, Interior Minister Rehman Malik and Petroleum Minister Dr Asim Hussain also accompanied the Pakistani president.

Asim Hussain confirmed to the Express Tribune that Iran had made the offer for export of 10,000MW of electricity.

Iran exported 3,940 gigawatt hours of electricity to its neighbors in the first half of the Iranian calendar year.

Iran's electricity network is integrated into power grids of seven neighboring countries including Afghanistan, Pakistan, Iraq, Turkey, Armenia, Azerbaijan and Turkmenistan.

Pakistan has already started work on another project costing $500 million, which will import 1,000MW from Iran.

An official of Pakistan's Ministry of Water and Power said that the feasibility study on import of 1,000MW from Iran through Zahedan to Quetta had been completed. Iran has already started laying a transmission line at the two countries' border.

To expedite the process, Pakistan has offered the company laying the transmission line on the other side of the border to build it on this side as well to avoid delay caused by the bidding process, the official added.

Pakistan is currently importing 35MW of power from Iran to meet requirements of Gwadar while work on increasing it by 100MW is in process. The two sides signed an agreement on this project in 2007 which is expected to become operational next year.

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