Pakistan has recently approved the import of coal from Afghanistan in rupees instead of U.S. dollars.
The move, Pakistan’s Sharif said, will help the country save precious foreign exchange in his country, according to a Pakistani newspaper, the Express Tribune reported.
Expressing deep concern over the rising price of coal in the international market, he said it was the main reason for generating expensive electricity from coal-fired power plants in the country.
“The coal imported from Afghanistan in rupee will not only generate cheap electricity but also helps save the country’s precious foreign exchange,” Sharif said.
The import of coal from Afghanistan, he said would save more than $2.2 billion annually, according to media.
Pakistan’s Ministry of Railways was also tasked to take all necessary steps to ensure prompt delivery of coal imported from Afghanistan to power plants.
The formation of a committee headed by the Pakistan’s defense minister, to expedite the import process, has become a need, as the prime minister instructed.
Meanwhile, Esmatullah Burhan, a spokesman for the IEA Ministry of Mines and Petroleum, in a press conference on Tuesday said that Pakistan was a good market for coal exports, which should not be lost.
According to him, revenue from coal exports under IEA rule were far higher than under the last government.
Also, report quoted Ahmad Wali Haqmal, finance ministry spokesman as saying that the tax on coal exports was increased to 30% from 20%.
This is to be noted that currently, coal is sold at $90 per ton, but from now on, it will be sold at $200 per ton.
This is clear that Afghanistan is a mine-rich country, but the wealth is yet to be extracted to meet the requirements of the country’s more than 30 million population.
Lack of energy is seriously felt in the country, as the former ministry of water and power contracted the import of electricity from neighboring countries with millions of U.S. dollar a year.
The Islamic Emirate can extract the country’s rich coal mine and use it as energy resource instead of importing electricity from other countries
Establishment of a charcoal factory, to produce energy, is more effective than importing power from the neighboring countries.
Over the last more than 20 years Afghanistan spent hundreds of millions of U.S. dollars to import power, more often facing long shortage that leaves Afghan citizens in darkness.
On the other hand, the establishment of charcoal factories inside the country, can also prevent its export to other countries with the lowest prices.
The country now, imports its needed power from the neighboring countries of Iran and the central Asian countries, while it exports its precious and quality charcoal to Pakistan. This is a harsh blow to the country’s economy, because if some of the country’s charcoal is exported legally, most parts of it are smuggled to the neighboring countries.
Unconfirmed reports said that some mafia groups in collaboration with certain contract companies export big parts of the country’s charcoal to Pakistan. If it was true, this can destroy our economy.
So, the ministries of mines and commerce and industry of the Islamic Emirate, in coordination with each other should resort to the building of coal power plants in the country, as it can be built with only $100 million while the country has to spend hundreds of millions to import power.
This can help Afghanistan use its own raw mine resources for the benefit of its population, on one hand and on the other, the country would get rid of commercial dependence to other nations. By this, Afghanistan can also be a self-sufficient country in the field of power production.
Pakistan is reportedly saving more than two billion U.S. dollars a year by purchasing coal from Afghanistan, while the country can do it itself in order to help the raw materials not to be sold at the lowest prices abroad.
Daud Nejrabi
Coal as energy resource best option instead of importing power
