DUSHANBE, July 24, 2014, Asia-Plus — Tajikistan is seeking investors for financing of its part of the Central Asia South Asia Electricity Transmission and Trade Project (CASA 1000), Minister of Energy and Water Resources Usmonali Usmonzoda told a news conference in Dushanbe on July 23.
According to him, the World Bank will finance the Afghan part of the project and Pakistan has funds available to finance its part of the project.
“As far as Tajikistan and Kyrgyzstan are concerned, they must find external funding sources,” the minister said, noting that 300 million U.S. dollars are needed for implementation of the Tajik part of the project.
“It is planned to build two power transmission lines – a 115-kilometer alternating current (AC) transmission link from Regar to the Sangtuda-1 hydroelectric power plant (HPP) and a 116-kilometer high voltage direct current (HVDC) transmission line from the Sangtuda-1 HPP to Afghan Border. Besides, it is necessary to install a converter substation in Tajikistan for conversion from alternating to direct current. This equipment costs some 150 million U.S. dollars,” Usmonzoda noted.
He further added that the World Bank had approved a $45 million grant for implementation of the Tajik part of the CASA 1000 Project. “Besides, the United States Government will provide 75 million U.S. dollars through the United States Agency for International Development (USAID) and Tajikistan will contribute 15 million U.S. dollars,” said Usmonzoda. “We have also applied to other international financial institutions and the Islamic Development Bank (IsDB) has agreed to provide a $70 million preferential loan. The IsDB Board of Executive Directors is expected to discuss this issue in late August.”
CASA 1000 is designed to transmit 1,300MW of surplus electricity from Tajikistan and Kyrgyzstan through Afghanistan, which is going to consume 300MW, to Pakistan.
The CASA 1000 Project is expected to develop the necessary physical infrastructure and create the institutional and legal framework to transmit surplus power available from existing generation facilities in Tajikistan and Kyrgyzstan to Afghanistan and Pakistan. The physical infrastructure for CASA 1000 is likely to include: a 500 kV high voltage direct current (HVDC) transmission system between Tajikistan and Pakistan through Afghanistan; an AC transmission link from Kyrgyzstan and Tajikistan to connect to the HVDC line from Tajikistan to South Asia; and the necessary electricity sub-stations in Kabul, Peshawar and Sangtuda (in Tajikistan).
