The project is intended at making the electricity systems more reliable, resulting in the development of a regional renewable electricity trade in Central Asia.
The Central Asia-South Asia Electricity Transmission and Trade (CASA-1000) initiative covers Tajikistan, Kyrgyzstan, Afghanistan and Pakistan,
It will focus on easing power supply shortages by transporting energy generated from hydropower plants. It will also yield export revenues for Tajikistan and Kyrgyzstan.
The project includes building 477km of 500kV power transmission line between Tajikistan and Kyrgyzstan.
Part of the loan will also be used for constructing a 120km line solely in Tajikistan.
The EIB will also finance the extension of two existing power substations in Tajikistan and another in Kyrgyzstan along with the construction of a new 500/220-kV facility in the former country.
EIB vice-president Wilhelm Molterer said:"The EIB loan will help improve the reliability and capacity of vital energy infrastructure needed for improving the quality of life of Tajik citizens and for further economic development in the region.
"The new energy infrastructure will foster electricity trade with neighbouring countries and make it possible to attract foreign investors due to safer energy supplies."
Image: Tajikistan has secured EUR70m EIB loan for electricity interconnection with Kyrgyzstan. Photo: courtesy of supakitmod/FreeDigitalPhotos.net.
