Da Afghanistan Breshna Sherkat (DABS) and Bayat Power, Afghanistan’s largest private power producer and developer, have renewed their power purchase agreement for an additional 10 years.
Kabul 24: This extension represents one of the most significant and successful public-private partnerships in Afghanistan’s energy sector and supports the country’s goal of increasing domestic power generation and reducing reliance on imports.
Under the renewed agreement, Bayat Power will maintain and supply a generation capacity of 40 megawatts from natural gas resources.
The electricity produced will serve various sectors across the country, including residential, commercial, and industrial consumers, contributing to greater grid stability and energy security.In addition to the main contract, both parties signed a separate technical memorandum of understanding aimed at deepening operational collaboration, improving efficiency, and sharing technical expertise in power generation and distribution.
Bayat Power currently operates the “Bayat Power–1” power plant, Afghanistan’s first modern natural-gas-fired power facility. Located in Jawzjan province in northern Afghanistan, the plant utilizes a highly efficient mobile gas turbine – the Siemens Energy SGT-A45 – chosen for its superior performance, rapid deployment capability, and reliability.The facility delivers affordable, dependable, and environmentally friendlier electricity to homes and businesses nationwide.
It generates more than 300 million kilowatt-hours annually and supplies power to hundreds of thousands of customers, primarily in the northern provinces of Jawzjan, Faryab, and Sar-e-Pol.Bayat Power–1 stands out as the first private-sector natural-gas power project in Afghanistan in over four decades.
The initiative has been developed through innovative collaboration involving Bayat Power, Siemens Energy, various Afghan government entities (including the Ministry of Mines and Petroleum, Ministry of Energy and Water, Afghan Gas Company, and Da Afghanistan Breshna Sherkat), and international development partners.
The agreement renewal followed a series of high-level discussions and was formally signed by Mullah Abdul Haq Akhund, Chief Executive of Da Afghanistan Breshna Sherkat, and Dr. Ehsanullah Bayat, Chairman of Bayat Power.
Breshna welcomed the extension and announced that further talks were held on Tuesday regarding plans to increase generation capacity in the near future. These steps are part of ongoing efforts to boost domestic electricity production and improve reliable access to energy for Afghan citizens and businesses.
