- Pakistan to increase electricity imports from Iran
- To construct transmission line to Gwadar port
Pakistan is set to increase electricity imports from Iran following the decision by the Cabinet Committee on China-Pakistan Economic Corridor (CPEC) to award Quetta Electric Supply Company (QESCO) with the contract for the construction of a transmission line to Gwadar port. The project is expected to be completed by March 2023.
Due to the United States (US) sanctions against Iran, Pakistan is unable to make payments for electricity imports from Iran through proper payment channels. Pakistan has therefore opted to barter for electricity imports from Iran.
With the new barter arrangement, Pakistan will see an increase in electricity imports from Iran. Iran, a major player in the Asian electricity market, is finalising plans to export more electricity to neighbouring countries. Iran currently exports to Armenia, Azerbaijan, Iraq, Turkmenistan, and Afghanistan.