Afghan govt approves two new major electricity projects worth $113m

AVA- The Office of the President, ARG Palace, said the contracts were approved during the meeting of the national procurement commission chaired by President Mohammad Ashraf Ghani on Saturday.

According to ARG Palace, the first project covers the construction of the gas power/electricity generation facility in Sherbarghan which will be built with an investment of $38.8 million by Bayat Power Corporation.

The second project covers the construction of electricity generation facility in Mazar-e-Sharif city which will be built with a total investment of $75 million by Ghazanfar Group and International Financial Corporation.

According to the ARG Palace, the Afghan government institutions including Da Afghanistan Breshna Sherkat, ministry of energy and water, ministry of mines and petroleum, and the independent land authority will also be involved in the implementation of the project.

The DLA Piper company has been appointed as the consulting firm to assist in agreement with the IMF and IDA for the preparation and ownership agreements and the test and evaluation of the projects.

The ARG Palace also added that the Sherbarghan natural gas electricity production facility will generate 40 megawatts of electricity while the Mazar-e-Sharif facility will produce 50 megawatts of electricity.