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The North East Power System of Afghanistan (NEPS)

The North East Power System of Afghanistan (NEPS). Introduction.

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The North East Power System of Afghanistan (NEPS)

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  1. The North East Power SystemofAfghanistan(NEPS)

  2. Introduction • The North East Power System (NEPS) is an Afghan Government initiative and a multi-donor project consisting of generation, transmission, and distribution, which will combine imported power with domestically generated power for a least cost electrical power solution for Afghanistan. • Estimated Cost of import power: $.04-.05/ kW-HR • Current diesel generated power: $.25-.30/kWh –Unsustainable • Hydro power maybe cheaper, but needs large investment & takes long time to develop

  3. Project Background • Project Sponsor: • Ministry of Energy and Water – MEW • Additional Participants: • Ministry of Mines and Industry - natural gas • Donors: • Government of India • ADB • Germany’s KfW • World Bank • USAID • Objectives: • Supports the Strategic Targets of GOA. • The Least Cost Solution for power supply and cost recovery in Afghanistan.

  4. Project Background • NEPS Consists of: • TRANSMISSION LINES • Hairatan (Uzbekistan border) - Pul-e-Khumri to Kabul – Jalalabad and Kabul – Gardeyz (original plan) • Sherkhanbander (Tajikistan border) to Pul-e-Khumri • Turkmenistan border to Sheberghan – Mazae-e- Sherif – Pul-e-Khumri • SUBSTATIONS: rehabilitation &/or construction along Corridor • DISTRIBUTION SYSTEMS: rehabilitation &/or construction of the towns along the Corridor • GENERATION: • Rehabilitation of the existing Power Plants (mostly Hydro) • SHEBERGHAN Gas Fired Power Plant • TRANSIT HIGH VOLT LINES THROUGH AFGHANISTAN:

  5. NEPS Diagrammatically To Uzbekistan To Tajikistan To Turkmenistan Hairatan (no substation) Sherkhanbandar Andkhoy Kundoz Naibabad Khulm Sheberghan Mazar-e-Sharif Aybak Baghlan Maimana Pul-e-Khumri Project Management USAID Doshi USAID 220 kV 110kV World Bank Charikar KfW ADB India Unfunded Chimtala Kabul N Mehtarlam Sarobi Unfunded Kabul E Kabul NW Jalalabad Mahipar Naghlu Existing Line Kabul S Breshna Kot Existing Substation Gardeyz

  6. NEPS Geographically • The North East Power System

  7. Cost & Financing • Estimated Project Cost in US$: • $700 M Multidonor System • Financing: • Government of India – 220kV transmission lines + some substations • ADB – 220kV transmission lines • World Bank – power plant rehab, dist networks, technical assistance • Germany’s KfW – substations • USAID - power plant rehab, distribution networks, technical assistance

  8. Project Description • NEPS Funding

  9. Project Description • NEPS Funding

  10. Commercial Structure and Cost Recovery • Ownership: • Under study. Some form of private management of NEPS, under a Government owned entity. • Being studied by the Government of Afghanistan, the World Bank, and USAID. • Foreign participation will be promoted for assistance in management of the Grid. • Proposed Structure: • Keep it Government controlled and place it on commercial footing • Form new commercially viable generation, power trade/purchase, transmission and distribution enterprises • Implement transaction agreements between the enterprises to ultimately assure full cost recovery without government intervention • Implement new billing and revenue collection systems

  11. Shebreghan Project • Project Location: • Near the Gerkaduq gas processing plant outside of Sheberghan • Project Specification: • Natural Gas Fired 100MW Power Plant • Includes Gas Treatment for Sour Gas • Project Importance: • Domestic gas powered plant for the North East Power System (NEPS) • Balances transmission system reactive power. • Diversifies sources of power to achieve least cost power solution in Afghanistan.

  12. Reserves Available for Sheberghan Power Plant Producing fields BCF BCM Khwaja Gogerdaq 592.38 16.77 Jar Quduk 344.91 9.77 Yatimtaq 259.88 7.36 Total Remaining Reserves 1197.17 33.9 Current annual demand, plus 21.09 0.60 100 MW power plant Remaining Reserves 56 years

  13. Technology Selection • Feasibility Study and Pre-Design Completed by USAID • Power Station Technology Alternatives • Reciprocating gas Engines • Combined Cycle Gas Engines • Open Cycle Gas Turbines • Combined Cycle Gas Turbines

  14. Regional Power Trade • NEPS– 220 kV • Target Commissioning Date for Domestic Part 2008 • Confidence Building Measures for future projects. • Security for Transmission Corridor • Afghan Power Transits – 500 kV or HVDC • Transmission Routing – through Afghanistan to Pakistan • Investment Structure and Security • Operation – 2010?

  15. Future High Voltage Tajik-Pakistani Link Future 500 kV or 765 kV Tajik to Pakistan Transmission System (under study)

  16. Implementation • NEPS Time Frame: • Feasibility Studies needed for Sheberghan to Turkmenistan. • Construction has commenced for NEPS and should finish end of 2008 or shortly thereafter. • Sheberghan Gas Power Plant start date 2006, end 2008 • Next Steps: • Fund missing elements, including generation, transmission, and distribution. • Task force for study of the future transit lines, as discussed at the Islamabad conference.

  17. Implementation • Opportunities for Equipment Suppliers & Service Providers: • Transmission line material & equipment. • Hydro power plant: • Material & equipment. • Refurbishments • O&M • A new gas power plant – Sheberghan • Materials • Equipment • O&M • Electrical distribution equipment (large quantities) • Operations and Maintenance Contracts • Management Contracts

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