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Tajikistan reduces power supply to Afghanistan from 350 to 40MW

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Last Updated on: October 25, 2022

Da Afghanistan Breshna Sherkat (DABS), the country’s national power company, announced Monday that imported electricity from Tajikistan to Afghanistan has been reduced from 350 megawatts to 40 megawatts effective Tuesday.

In a statement released on Monday, DABS said the power has been reduced due to water shortages in Tajikistan.

However, DABS stated that an alternative had been found and that an additional 200 megawatts from Uzbekistan is being imported for Kabul and other provinces. DABS also said it was hoping to secure a further 200 megawatts as soon as possible.

“We faced the issue at 7am on Sunday, the electricity company was able to talk to Uzbekistan, and now we have provided 200 megawatts of electricity from Uzbekistan to Kabul,” Wahidullah Tawhidi, a spokesman for DABS said.

“Considering the domestic electricity, we have a total of 300 megawatts of electricity. We’re trying to get another 200 megawatts of electricity as soon as possible. The power in Kabul is relatively good right now,” he said.

According to DABS, electricity imported from Tajikistan serves Kabul, Nangarhar, Laghman, Logar, Pakita, Khost, Parwan, Panjshir, Kapisa, Baghlan, and parts of Kunduz provinces.

Meanwhile, economists say that more needs to be done to boost the domestic energy sector, especially regarding renewable energy and the production of energy from natural resources such as natural gas.

 In November 2019, Bayat Power made history for Afghanistan when it successfully implemented the nation’s first 40-megawatt gas-powered Independent Power Producer (IPP) in over four decades using natural gas.

According to experts, Afghan Gas requires a lot of attention from the Afghan government in order to optimize its operations so as to sufficiently supply fuel for the 40MW power plant which is the only one of its kind in operation currently.

“If investments had been done on the electricity sector over the last decade, we would have become an exporter of electricity by now. I wish investors would successfully implement projects in the energy sector, similar to what Bayat Power did in Jawzjan and other provinces, lighting up thousands of homes,” an Afghan economist Hakimullah Sediqqi said. 

“The government should think about this. In the long run, we should see the opening of dams, the opening of solar power, and have plentiful natural gas reserves worth billions of dollars. We should be able to use these resources to solve our problems of poverty and unemployment,” said Salim Toofan, an economic expert. 

DABS meanwhile agreed that Afghanistan does have the means to produce power for the country. 

“There is the capacity of using solar, gas, and water energy to generate electricity in Afghanistan,” said Tawhidi.

“Currently, the solar system in Kandahar province generates 40 megawatts, and the hydroelectric power dam of Helmand also generates 100 megawatts of electrical power,” he said. 

However, noting private investors’ achievements in this sector, he said: “Bayat and Ghazanfar Groups have invested in power production utilizing natural gas in the northern part of the country, of which Bayat group’s electricity supply project is operational.” 

He said: “There are opportunities for the private sector to invest in energy supply, and the government is ready to cooperate with them.” 

The use of natural gas in energy production, specifically by Bayat Power – the first natural gas power plant in Afghanistan – has the potential to boost domestic energy production to 200MW as planned, provided Afghan Gas can deliver the much-needed fuel to operate the state of the art SGT-A45 Siemen’s turbines, which are the first to be deployed worldwide, in Afghanistan.

 

 

 

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Chinese company keen to invest $50 million in automobile industry in Afghanistan

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Chinese automobile company Dongfeng has expressed an interest to invest $50 million in Afghanistan.

A representative of the company said in a meeting with Ahmadullah Zahid, Deputy Minister of Industry and Commerce, that the company wants to invest $50 million in the automobile manufacturing sector in Afghanistan in four phases over a period of three and a half years.

He added that with this investment, 2,000 vehicles will be manufactured per year.

Welcoming the company’s interest in investing in the country Ahmadullah Zahid, the Deputy Minister of Industry and Commerce, described Afghanistan as one of the safe and secure places for investment with favorable profits.

He assured the Chinese that all domestic and foreign investors will be treated equally and will be fully supported.

In the meeting, the representative of Dongfeng also emphasized that the company’s investment in Afghanistan will create jobs for 500 to 700 people in the country.

He said that the company’s products will include cars, trucks, ambulances, and buses.

 

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Kyrgyzstan exports 25 million liters of petrol to Afghanistan in 2 months

The gasoline, worth $11.5 million, was exported to Afghanistan during January and February this year

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Kyrgyzstan has in two months exported 24.9 million liters of gasoline to Afghanistan, the Kyrgyz National Statistics Committee said Monday. 

According to local media, the gasoline, worth $11.5 million, was exported during January and February this year. 

Exports of gasoline to Afghanistan have been steadily rising over the past two years. 

In the first six months of last year, 700 liters went to Afghanistan, against just 19 liters in the same period in 2023. 

Overall trade between the two countries also saw a steady increase after the Kyrgyz government removed the Islamic Emirate of Afghanistan (IEA) from their list of banned organizations in September last year. 

Afghanistan is now the main consumer of Kyrgyz motor gasoline, accounting for about 92 percent of all exports of this fuel.

While Afghanistan has its own oil and gas reserves, particularly in the Amu Darya basin, it relies heavily on imports, especially from Central Asian countries and Iran, to meet its energy needs. 

 

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Trump says buying Iranian oil must stop, threatens secondary sanctions on purchasers

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U.S. President Donald Trump said all purchases of Iranian oil or petrochemical products must stop and any country or person buying any from the country would be immediately subject to secondary sanctions.

“They will not be allowed to do business with the United States of America in any way, shape, or form,” he wrote on Truth Social on Thursday, Reuters reported.

Trump’s comments follow the postponement of the latest U.S. talks with Iran over its nuclear program, which had been due to take place in Rome on Saturday. A senior Iranian official told Reuters a new date will be set “depending on the U.S. approach.”

Trump’s administration has targeted Tehran with a series of sanctions on entities including a China-based crude oil storage terminal and an independent refiner it has accused of being involved in illicit trade in oil and petrochemicals.

In February Trump restored a “maximum pressure" campaign on Iran which includes efforts to drive its oil exports to zero and help prevent Tehran from developing a nuclear weapon.

Secondary sanctions are those where one country seeks to punish a second country for trading with a third by barring access to its own market, a particularly powerful tool for the United States because of the size of its economy.

Analysts have said that to really crack down on Iran’s oil exports the U.S. would have to impose secondary sanctions on entities such as Chinese banks that facilitate the purchases of Iranian oil. China is the largest buyer of Iranian crude.

 

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