Pak, Iran sign MoU to provide 100 MW of electricity to Gwadar

Pakistan and Iran have signed a Memorandum of Understanding to provide 100 megawatts of electricity for Makran Division, reported the 24NewsHD TV channel. 

The MOU was signed during a four-day official visit of Minister for Energy Khurram Dastgir Khan to Iran that concluded on Monday. Under this MOU, Pakistan will import an additional 100MW of electricity. The project will ensure uninterrupted supply to Gwadar and lay the foundations of a prosperous port city.

Iran has shown interest to initiate more projects on electricity in Pakistan. This understanding was reached in a meeting between Khurram Dastgir Khan and Ali Akbar Mehrabian of Iran in Tehran. During the meeting, mutual areas of interest were discussed.  The two ministers stressed the promotion of bilateral relations between Iran and Pakistan and increased cooperation in the energy sector.

Both ministers also expressed interest in launching new joint ventures in the energy sector.

The Energy Minister of Iran appreciated the authorities of Pakistan on the construction of a transmission line for the import of electricity from Iran to Gwadar at a great pace. He expressed his interest to initiate more projects on electricity with Pakistan.

Khurram Dastgir thanked his counterpart for extending his cooperation in the energy field.

Pertinent to mention here, on the instructions of Prime Minister Shahbaz Sharif, Khuram Dastgir visited Iran. 

The purpose of Minister Khurram's visit was to finalize the agreement to supply electricity to Gwadar, which was initiated during the minister's first visit in June 2022. In a record time of nine months, the electricity transmission line has been laid from Iran to Gwadar.

Three sessions of technical teams were held to finalize the power supply agreement in which detailed discussions were held. As a result of these meetings, an agreement was signed between Pakistan and Iran on March 13 to supply 100 MW of electricity.

During his visit, the minister also attended a function organized by the Embassy of Pakistan in Tehran on the occasion of Pakistan's National Day.

He addressed the Iranian civil and military dignitaries and diplomats who attended the event. In his speech, the Chief Guest said that Pakistan and Iran are two brotherly countries with irrevocable ties of common faith, cultural affinity and common history. He expressed the hope that bilateral relations between the two brotherly countries will continue to grow in the future.

The minister congratulated the leadership of Iran and Saudi Arabia on the restoration of their diplomatic relations.

Iran's Energy Minister Ali Akbar Mehrabian was the chief guest on this occasion. He emphasized that there is a lot of potential for improvement in bilateral relations between Pakistan and Iran.

It is pertinent to note, the evacuation of additional 100MW power through new transmission line will be started through this transmission line in the next few days. 

The transmission line project has been completed at the cost of 10 million Euro. 

In June 2022, Pakistan and Iran had signed an agreement for the import of 100MW additional electricity from Tehran.

 The infrastructure for the supply of additional electricity on the Iranian side has already been completed; however, related infrastructure on the Pakistan’s side was missing which has now been completed.

 Polan is in Iran and it is 51-km from Pakistan’s border. 

Initially, to meet the demand of the border areas of Balochistan, the agreement between Pakistan and Iran was signed in 2002, for the import of 34MW electricity in 2002, which was increased to 73MW and finally it has been enhanced to more than 100MW. The total demand of Makran division is around 150MW and Pakistan is already importing 100MW electricity from Iran and Quetta Electricity Supply Company is supplying it to Makran division through 132kV transmission line. With the evacuation of additional 100MW, the total electricity import from Iran will reach to 200MW.