The Afghanistan government-run power distribution firm, Da Afghanistan Breshna Sherkat (DABS), Wednesday signed a memorandum of understanding (MoU) during the second India-Afghanistan International Trade and Investment show, according to India’s Economic Times report.
The four-day event, which started Wednesday, is aimed at bolstering trade between the two countries and is showcasing business and investment opportunities in Afghanistan.
The Times reported that Tata power is “looking to tap huge opportunities in Afghanistan”, where only 35 percent of the people have access to electricity, said Praveer Sinha, chief executive officer and managing director of Tata Power.
"When we look at the power sector and how we can play a role in Afghanistan, we see a huge opportunity. The country unfortunately does not have universal access of power as just about 35 per cent of the people have access to power and that also in the four main cities," said Sinha.
He said it was because of this that Tata Power would like to work with DABS and with local entrepreneurs, he added.
He also stated that Afghanistan had huge natural resources, which could be used to make it a net power exporter.
The rivers in Afghanistan have the potential to produce 20,000-25,000 MW of electricity on a conservative estimate, according to Sinha.
Also, Afghanistan has the potential to produce around 200 GW of power from solar energy besides another 66 GW of from wind energy, he added.
"(Therefore) when we look at Afghanistan in the next few years, it will be net exporter of power," said Sinha.