Kabul (TDI): Afghanistan and Uzbekistan have signed four contracts worth $243 million to expand power transmission infrastructure and build new substations, according to Da Afghanistan Breshna Sherkat (DABS), the Afghan state-owned utility company.
The agreements, signed with Uzbekistan’s Ministry of Energy through Nego Energy and Uz Energy, include the extension of the 500-kilovolt Surkhan–Dasht Alwan transmission line (capacity: 1,000 MW), expansion of the Arghandeh substation to 800 MVA, construction of a new Sheikh Mesri substation in Nangarhar, and extension of the 220-kilovolt Kabul–Nangarhar line.
At the signing ceremony in Kabul, attended by senior Afghan officials including Deputy Prime Minister for Economic Affairs Mullah Abdul Ghani Baradar Akhund, DABS CEO Dr. Abdul Bari Omar called the projects “vital for ensuring reliable electricity services” that would bolster commercial, industrial, and agricultural growth.
Uzbekistan’s Energy Minister Jurabek Mirzamakhmudov highlighted the deal as a sign of “strong joint cooperation” and pledged close collaboration during implementation.
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DABS also signed a separate 10-year power purchase agreement with Uzbek companies, which is expected to stabilize Afghanistan’s grid.
Currently, Afghanistan generates about 250 MW domestically and imports 800 MW from Turkmenistan, Iran, Uzbekistan, and Tajikistan at an annual cost of $250–280 million.
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National demand, however, is estimated at 6,000–7,000 MW, potentially reaching 10,000 MW as industrial production expands.
Over the past 11 months, DABS has arranged or prepared agreements for domestic energy projects totaling 1,070 MW, with foreign partners financing 70% of the $1.01 billion investment.
Farkhund Yousafzai is an Associate Editor at The Diplomatic Insight.
