DUSHANBE, November 26, 2008, Asia-Plus  -- Terms of production of units for Iranian-built Sangtuda-2 hydroelectric power plant (HPP) in Tajikistan have been discussed at the talks of Energy and Industries Minister Gul Sherali with top managers of the Harbin engineering works, China.

As it had been reported earlier, the Tajik minister was on a seven-day working visit to China on November 17-24.  

According to the Ministry of Energy and Industries (MoEI), specialists from Iran’s company Sangab accompanied him on this trip and took part in the talks with senior representatives of the Harbin engineering works, which is manufacturing units for the Sangtuda-2 HPP.

The source at a MoEI said that sides had agreed that the Chinese company would manufacture the units for the Sangtuda-2 station in 20 months but not in 22 month as it was agreed last September.

During his stay in China, Gul Sherali also held talks with senior representatives of a number of Chinese companies, including Sino Hydro, TBEA and Uranium Company, to discuss issues related to cooperation in enhancing Tajik energy sector, using alternative energy resources, as well as exploring and developing ore deposits in Tajikistan, the source said.

We will recall that on January 12, 2005, Tajikistan and Iran signed a protocol in Dushanbe for Iran to complete the construction of Tajikistan''s Sangtuda-2 hydropower station.  During President Rahmon’s visit to Iran in January 2006, a number of agreements providing for Iranian assistance for several Tajik infrastructure projects, including construction of the Sangtuda-2 HPP, were signed.

Construction of the stationed officially commenced on February 20, 2006.  The estimated budget for construction of the Sangtuda-2 station is some 220 million US dollars, comprising Iran’s preferential loan of US$180 million provided for ten years at 5 percent annual interest, and US$40 million equivalent of the Tajik government financing.  Iranian company, Sangab, is constructing the station.

The rated capacity of the Sangtuda-2 station is 220 megawatt and it will generate 1 billion kWh of electrical power per year.  Once the power station is built, all the revenue over the next 12.5 years will go to the investor, and Tajikistan will become the owner of Sangtuda-2 after this period expires.