ISLAMABAD, Dec 29: Iran has formally offered to export electricity to Pakistan.

During a meeting with Minister for Water and Power Raja Pervez Ashraf on Monday, Iranian Minister for Energy Parvaiz Fattah offered to supply electricity from its port at Chabahar where a power plant of 500 MW is under construction. The plant will be ready in six months.

The Chabahar port is near the Gwadar port.

Mr Fattah also met Prime Minister Syed Yousuf Raza Gilani and Investment Minister Waqar Ahmad Khan.

Pakistan is currently importing 40 MW from Iran for coastal areas of Balochistan. Another 100 MW is being imported for the Gwadar port.

An agreement has already been signed and consultants have been engaged to carry out a feasibility study.

Iran has also offered to build a dedicated 1,000 MW gas-power plant at Zahidan for export of electricity to Pakistan.

M/s Sunir of Iran will construct a transmission line on both sides of the border and negotiations for the award of contract are in progress.

The Export Development Bank of Iran will extend a credit of $55 million to the Pakistan Electric Power Company and National Transmission and Despatch Company for the construction of a 70km transmission line inside Pakistan and Iran will construct 50km line on its side.

In a meeting with the Iranian minister, Prime Minister Syed Yousuf Raza Gilani underscored the need for further promoting cooperation, especially in the energy sector. He expressed a hope that the MoU signed for the import of 1,000 MW of electricity would soon materialise.

Underlining the importance of enhanced people-to-people contacts, Mr Gilani said that frequent exchange of visits was vital to further cementing the bilateral ties.

Earlier, the ministry of water and power briefed the Iranian delegation on existing power sector projects related to import of electricity from Iran and future investment prospects in Pakistan’s power sector.