The Overall Project Progress

The Central Asia-South Asia Electricity Transmission and Trade Project (CASA-1000) aims to facilitate electricity trade between hydropower surplus countries in Central Asia and electricity deficient countries in South Asia. The four countries participating in the project – Afghanistan, Kyrgyz Republic, Pakistan and Tajikistan have been engaged in a broad discussions on the creation of a regional electricity market – the Central Asia South Asia Regional Electricity Market (CASAREM) – to link the Central Asian countries’ surplus electricity resources with the South Asian countries’ unmet demand for electricity, thereby alleviating the persistent shortages that have acted as a brake on growth, jobs and population welfare.

The countries participating in the project are of considerable geostrategic importance by virtue of their location at the crossroads of China, India, Russia and the Middle East, and could create a regional energy and trade market between Central and South regions.

Kyrgyz Republic and Tajikistan are among the poorest countries in Central Asia. Despite inheriting well-developed infrastructure (i.e. surplus electricity resources), both countries have suffered significant declines in living standards. The poverty levels are currently extremely high in this counties. However, the surplus electricity resources of these country can make promote their economic stabilization and growth. On the other side, Afghanistan and Pakistan have been suffering from a severe shortage of power. For a long-lasting wellbeing and economic growth of these countries, some platforms have been suggested in support of some international organizations, notably World Bank (WB), International Monetary Fund (IMF), Asian Development Bank (ADB) and International Financial Institutions (IFIs). As an unprecedented initiative on the creation of CASAREM, the CASA-1000 will pave the way for greater economic cooperation, contributing to growth, the elimination of extreme poverty and the boosting of shared prosperity in the involved countries.

The Afghanistan portion of CASA-1000 starts from Afghanistan–Tajikistan border (Sher Khan Bandar) and terminating to Torkham, Pak-Afghan border. The CASA-1000 project is divided into three LoTs in Afghanistan namely LoT-1 (Kunduz, Baghlan), LoT-2 (Baghlan, Panjshir, Kapisa) and LoT-3 (Kabul, Laghman, Nangrahar). The overall project progress is 72.3 percent by August 10, 2021.