Business
Tajikistan reduces power supply to Afghanistan from 350 to 40MW
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.
Business
Shoemaking industry in Takhar province facing stagnation
A number of shoemakers in northern Takhar province say that while their handmade shoes are of better quality than imported shoes, but still sales are down.
According to them, there were more than 20 shoe-making shops in the past, but now some have been closed due to the decline in sales.
The shoemakers make most of their shoes from leather. A number of industrialists say that this industry is now facing stagnation.
Abdul Raqib, a shoemaking factor owner, said: “The government should support us. Currently, we import soles. It can be made with good quality in Afghanistan, and we could even compete against Turkish shoes.”
Meraj, another shoemaking factory owner, said: “Shoe sales were higher in the republic era. There were military shoes. Sales have declined now, but we still thank Allah.”
Shoemakers make these shoes with basic tools and by hand, with 5 to 8 people working in each shop.
Javed, a shoemaker, said: “Our sales are not so good. We can make any type of shoe or slipper. We want the government to support us.”
A number of Takhar residents say that domestically produced shoes are of high quality and with lower price compared to imported shoes, so people prefer domestic products to foreign products.
Mir Ata, a resident of Takhar, said: “We are very happy about domestic shoes. People should buy it. They are of good quality.”
However, the officials of Takhar Industry and Commerce Department say that they are committed to support the industrialists.
Abdul Rahman Ghaznawi, provincial director of industry and commerce, said: “People prefer domestic shoes and slippers. Takhar’s products are sold in Kunduz, Baghlan and Badakhshan as well.”
Meanwhile, industrialists say that if the government supports them, they will be able to make the best products and can be more competitive.
Business
Daily truck clearances at Torkham drop from 400-500 to 5-10
Pakistan’s Sarhad Chamber of Commerce and Industry (SCCI) has said that daily truck clearances at Torkham crossing have declined from 400-500 to 5-10.
SCCI President Fazal Muqeem Khan said this at the signing ceremony of a memorandum of understanding (MoU) with the Pakistan-Afghanistan Joint Chamber of Commerce and Industry to promote bilateral trade and cooperation.
He said the volume of trade between Pakistan and Afghanistan had fallen from $3 billion to $1 billion annually.
Fazal Muqeem also highlighted the adverse impact of the 2% Infrastructure Development Cess (IDC) imposed by the Khyber-Pakhtunkhwa government on trade and transit.
Business
Turkish scholars, charity officials assess investment prospects in Afghanistan
Officials pledged to encourage Turkish investors to explore and capitalize on investment opportunities in Afghanistan
Afghanistan’s Acting Minister of Energy and Water, Mullah Abdul Latif Mansoor, met with a delegation of Turkish scholars and officials from the Adif Charity Foundation on Tuesday to discuss various political, religious, and social issues.
According to the Ministry of Energy and Water, Mullah Mansoor praised Adif’s humanitarian efforts in Afghanistan and highlighted the country’s ample resources for energy production.
He emphasized that Afghanistan currently offers a favorable environment for investment in all sectors, assuring the Turkish delegation of the Islamic Emirate’s commitment to ensuring the safety and security of investors and their assets.
In response, Adif officials pledged to encourage Turkish investors to explore and capitalize on investment opportunities in Afghanistan, signaling a potential boost in economic and developmental cooperation between the two nations.
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