ISLAMABAD: Pakistan on Monday said it had signed a memorandum of understanding (MoU) with Iran to supply 100 megawatts of electricity to Gwadar.

Energy Minister Khurram Dastgir Khan paid a three-day visit to Iran from March 10 to 13 and held meetings with his Iranian counterpart Ali Akber Mehrabian.

The energy ministry said that during a series of meetings both ministers emphasised on boosting cooperation and showed interest in initiating new joint ventures in the field of energy.

Mr Khurram visited Tehran to finalise an agreement of power supply to Gwadar, which was initiated in his earlier visit in June 2022. In a record time of nine months, the electricity transmission line has been laid from Iran to Gwadar. “For the finalisation of agreement of power supply”, three sessions were held by technical teams in which extensive discussions were held. As a result of these meetings, an agreement was signed with Iran for the supply of 100MW to Gwadar.

Officials at the energy ministry and Pakistan embassy in Tehran said the timing for power supply and tariff issues were still under discussion and would be finalised after the concurrence of the federal cabinet.

The statement, however, said the project would be inaugurated at the earliest and ensure uninterrupted supply to Gwadar.

The minister also attended a ceremony relating upcoming Pakistan Day and said Pakistan and Iran were two fraternal nations with indissoluble bonds of common faith, cultural affinity and shared history.

The energy minister extended felicitation to the leadership of Iran and Saudi Arabia on the revival of their diplomatic ties. Iranian Energy Minister Ali Akber Mehrabian said that there exist a lot of potential for improving bilateral relations.

Pakistan’s state-run National Transmission & Despatch Company (NTDC) has already completed and tested a 29km long double-circuit transmission line from Polan, Iran to Gwadar to ensure the supply of an additional 100MW to various parts of Balochistan. Gwadar port has been facing an electricity shortage, hampering industrial growth. A 51-km transmission line from the Polan grid station to the Pak-Iran border is also ready.

Published in Dawn, March 14th, 2023