China to build 1.5 billion Pakistan Power Line
Grid Corporation of China State is ready to build a US $ 1,500 million power line across Pakistan to allow the transmission of 4,000 megawatts of electricity from north to south, the government said yesterday. Pakistani and Chinese officials signed on Thursday an investment agreement in Beijing to build the country's first high-voltage direct current (HVDC) line, according to a government statement. The power transmission line would connect the national grid between Matiari city in southern Pakistan, and the eastern city of Lahore, about 1000 kilometers. Pakistan has struggled to provide enough energy for its nearly 200 million citizens for years, and Prime Minister Nawaz Sharif promised to resolve the crisis in 2018. Sharif inaugurated the fourth nuclear power plant in Pakistan on Wednesday, A collaboration with China adding 340 megawatts to the national grid as part of the government's efforts to end an energy deficit that weakens growth. The energy sector has traditionally struggled to cover the cost of generating electricity, leading the government to reallocate $ 2 billion per year as a subsidy, according to a recent report commissioned by the UK government. China is increasing investment in its neighboring South Asia as part of a $ 46,000-million project announced last year that will link the Xinjiang region to the Gwadar port in Pakistan with a number of improvements in Infrastructure, energy and transport. Last week, Pakistan's leading stock exchange announced that a Chinese consortium would acquire a 40 percent stake in the stock exchange of an estimated $ 84 million deal. Shanghai Electric announced in August to buy a controlling stake in the company that supplies Karachi by US $ 1,700 million, the largest acquisition in the country in the private sector.