Pakistani ‘turn’ appears in CASA 1000 Project

The International News (Pakistan) says Pakistan has formally asked Tajikistan to invoke the open access clause in the agreement under the CASA 1000 Project paving way for two way trade of electricity, as under the existing deal, Pakistan is bound to import 1,000MW electricity per day at 9.50 cents per unit in summer season from May to October once this project comes into stream. 

Under new scenario, Pakistan is now surplus in electricity and wants to export it to Kyrgyzstan, Tajikistan and Afghanistan in winter season by using the same structure of CASA project.

Additional Secretary Power Division Waseem Mukhtar, who represented Pakistan in CAREC countries’ two days conference ‘Breaking the Investment Barrier in Central Asia’, said while talking to The International News that in next meeting of the countries involved in CASA project, Pakistan will take up the issue and ask electricity supplier countries -- Kyrgyzstan and Tajikistan -- to review the deal under open access clause ensuring the two-way electricity trade arguing that Pakistan is now surplus in electricity.  CASA secretariat has included the issue of change in agreement flagged by Pakistan in the agenda of next meeting.

When asked if the decision to import electricity from Tajikistan was rationale knowing the fact that hydro electricity generation in Pakistan has increased by over 9,000MW and many more hydropower projects are in the line and in to the installed capacity of Pakistan to generate electricity has increased to over 34,000MW showing Pakistan is in surplus with electricity, Mukhtar responded that when Pakistan entered into agreement with Tajikistan and other countries under CASA project, the country was facing acute electricity crisis.  He said the Word Bank had drafted the agreement signed by all countries involved in this project.

“We cannot abandon the project unilaterally as sovereign guarantees are involved and Pakistan cannot afford to face penalty in dollars in case any aggrieved party moves the international arbitration,” he said.  However, he said, if Pakistan is not provided electricity on time during the period from May to October then Pakistan will penalize the electricity supplier countries.

Asked if Pakistan’s financial liability starts when Tajikistan provides electricity in national grid in Peshawar, he replied in the affirmative.  When he was further questioned if Pakistan will bear the transit electricity loss in Afghanistan in the wake of any subversive activity, he said that all such issues must have been covered in the agreement.

A the end of the last year, The International News, citing a senior official of Power Division, said that Pakistan proposed to include a reverse flow of electricity clause in the power purchase agreement (PPA).

Under the agreement, once the CASA-1000 project is completed, Pakistan will import 1,000MW electricity from Tajikistan in summer season for 5 months from May to September, but now authorities in Islamabad have made up their mind to export 1,000MW electricity to Tajikistan through the same project in winter as hydro generation in Tajikistan turns zero.

 

After introducing the second unit of Dushanbe-2 combined head and power (CHP) plant in operation Tajikistan practically meets its annual requirements in electricity fully.  

Later, two units of the Roghun hydropower plant (HPP) with a total capacity of 200 MW have been introduced into operation. 

With the commissioning of new facilities, Tajikistan will be able to export electricity even in winter season.  

 

The Central Asia-South Asia power project, commonly known by the acronym CASA-1000, is a $1.17 billion project currently under construction that will allow for the export of surplus hydroelectricity from Kyrgyzstan and Tajikistan to Afghanistan and Pakistan.  Groundbreaking for the project took place in May 2016 by leaders of the four nations.

The project will allow for the export of 1,300 megawatts of electricity during the summer months when both Tajikistan and Kyrgyzstan experience surplus electricity generation from hydroelectric dams.

High voltage direct current (HVDC) converter stations will also be included as part of the project, as well as a 477 kilometer long, 500 kilovolt alternating current transmission line between Datka, Kyrgyzstan and Khujand, Tajikistan.  A 1,300 MW AC/DC converter station will be constructed in Sangtuda, Tajikistan, as well as a 300 MW converter station in Kabul, Afghanistan.  A 750km HVDC line will be constructed between Sangtuda, and the city of Peshawar, Pakistan, via Kunduz, Pul-I Khumri, Kabul and Jalalabad in Afghanistan.  In Peshawar, a 1,300 MW converter station will be built and connected to Pakistan's electric grid.