South Asian resource deals help avoid power cuts
GBI Research finds power grid 'friendships' alleviate power deficits
A new report by energy researcher GBI Research argues that South Asian countries are set to benefit from agreements to share energy resources with neighbouring states. Countries including Pakistan, Afghanistan, Bangladesh, Bhutan, Nepal and Sri Lanka are planning to develop a cross-country power grid to avoid power shortages.
The report states that plans are already underway to establish a 200km submarine cable between India and Sri Lanka to deliver up to 1,000 MW of electricity. Elsewhere, Bhutan already exports between 1,200 and 1,400 MW of electricity to India's power grid.
GBI Research suggests that the import/export of power between the South Asian Association for Regional Cooperation (SAARC) countries will help support the entire region, providing support in the event of a deficit between the demand and supply of power in any member country.
The total installed power capacity in the principle SAARC countries is forecast to grow at a compound annual growth rate of 8.6%, reaching 505.7 GW in 2020. Renewable and hydro sources of power are expected to see growth of 5.8% in the region.