Siemens Energy to help Afghanistan become sustainable energy hub

Siemens Energy AG (FRA:ENR) has taken the task of developing Afghanistan as a central Asian energy hub, helping the country exploit its abundant renewable energy resources.

The company has inked a multi-phase agreement with the local government to work on a modern, sustainable and cost-effective power system that incorporates renewables. The deal follows the signing of a memorandum of understanding (MoU) in January 2019 that outlined support for the country’s sustainable development.

The first step will be to establish the commercial and technical feasibility of the project and then, in the second phase, the focus will be on grid expansion and stabilisation, including the creation of local generation hubs utilising renewable energy. The third phase will involve the development of the local renewable energy sector.

“The electrification of Afghanistan will be done sustainably and efficiently, turning the nation into a beacon for energy advancement and transforming the country into a regional energy hub,” said CEO Christian Bruch.

At present, just 28% of Afghanistan’s 37-million-strong population has access to electricity and portions of the country’s power grid are fragmented and supplied as passive islands, with electricity being imported from neighbouring countries.

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