Iran to export 1,000 MW of electricity to Pakistan

December 31, 2013 in News by The Manimal

Source: Press TV

File photo shows power transmission pylons.

Islamabad reportedly plans to import 1,000 megawatts (MW) of electricity from Iran to overcome a severe energy crisis that has been crippling Pakistan’s economy for years.

Informed sources, speaking on the condition of anonymity, told the English-language daily The Express Tribune that the Pakistani Ministry of Water and Power has called for the assessment of a draft memorandum of understanding with Iran for electricity import.

“Pakistan will be paying 8 to 11 cents per unit of electricity under the formula agreed with Iran,” an unnamed source said.

According to the project, Iran would build a power station in its southeastern province of Sistan and Baluchestan near the border with Pakistan to generate electricity for export.

A 500-kilovolt power transmission line, stretching for 700 kilometers (about 435 miles), would be also set up from the Iran-Pakistan border to the southwestern Pakistani city of Quetta.

Pakistan is battling chronic electricity shortage, which is inflaming public anger and stifling industrial output, as power outages can last eight to 10 hours a day in cities, with much more frequent cuts in rural areas.

Pakistan is currently importing 74 MW of electricity a day from Iran for bordering areas of Balochistan. Electricity imports from Iran reportedly cost Pakistan around USD 3 million a month.

Pakistan’s electricity is generated, transmitted, distributed, and sold by two vertically integrated public sector utilities. Water and Power Development Authority is responsible for all of Pakistan except Karachi, and the Karachi Electric Supply Corp. along with roughly 20 independent power producers supply electricity to Karachi.