The long discussed Indo-Pak electricity deal has moved closer to reality with energy- starved Pakistan handing over draft of an initial power trade deal to India.
The move comes as the World Bank has offered to finance the feasibility study and transmission line to import 1,200 megawatts (MW) of power from India.
"Now, the World Bank has also offered to finance a feasibility study along with the (installation of) transmission line to import 1,200 MW power from India," an unnamed government official told the Express Tribune daily.
The official said a draft of Memorandum of Understanding (MoU) was handed over to Indian authorities in a recent meeting held in New Delhi.
India would respond to Pakistan after going through the draft of the initial deal, the official said.
Indian diplomats said Pakistan and India have constituted technical working groups which would review the aspects of the export of 500 MW of electricity to Pakistan.
The Pakistani cabinet had decided in January to import electricity from India. "The cabinet gave approval to the signing of an MoU between Pakistan and India for trade of electricity," an official statement had said.
The Water and Power Ministry had initiated negotiations with India in this regard, it said, adding that the World Bank had undertaken to finance feasibility study of the project.
The issue of electricity trade had come up for discussion during the meeting between Indian Commerce Minister Anand Sharma and Chief Minister of Pakistani Punjab Shahbaz Sharif during his visit to India in December.
