Bayat Power extends gas supply deal with Afghan Gas

Bayat Power has renewed its natural gas supply agreement with Afghan Gas, securing the continued production of 40 megawatts of electricity for the next ten years.

The extension ensures that power generated from domestic gas will continue to be distributed through the country’s power utility, Da Afghanistan Breshna Sherkat (DABS), supporting households and contributing to economic activity nationwide.

A senior official from Bayat Power, Haji Ismael, welcomed the agreement, stating:

“We are very pleased to witness today the extension of the gas purchase and sale contract with Afghan Gas Company.

“As you know, Bayat Power Company has been generating forty megawatts of electricity from gas in Sheberghan Province for several years, and it is distributed through Breshna Company. This process will continue for another ten years with the extension of the contract. I would like to thank Afghan Gas Company and its leadership” he said.

Ismael added that the agreement aligns with the company’s long-term vision of supporting Afghanistan’s development through reliable, locally generated energy.

Officials from Afghan Gas in Jawzjan reaffirmed their commitment to maintaining a stable gas supply, noting that domestic energy production remains an important pillar for long-term stability and self-reliance.

Bayat Power’s facility in northern Afghanistan continues to play a key role in the country’s energy mix.

The renewed agreement follows a separate extension signed earlier this year between DABS and Bayat Power, which also secured power production for an additional ten years—reinforcing a key public-private partnership in Afghanistan’s energy sector.

Alongside the extension, the two sides signed a technical memorandum of understanding aimed at strengthening operational cooperation.

Bayat Power is currently the country’s largest private electricity producer and operates Bayat Power-1, Afghanistan’s first modern gas-to-electricity plant. At the time of the earlier agreement, Chairman Ehsanullah Bayat said the company remains committed to delivering reliable, affordable and sustainable electricity, while also exploring opportunities to expand production capacity.

The project itself represents a major milestone in Afghanistan’s energy development. Built as a public-private partnership, it brings together Bayat Power, Siemens Energy, Afghan government institutions—including the Ministries of Mines and Petroleum and Energy and Water—Afghan Gas, and DABS. The facility uses Siemens Energy’s advanced SGT-A45 mobile gas turbine, known for its efficiency and flexibility, and remains a cornerstone of the country’s push toward greater energy independence.

Overall, the renewed agreement is seen as a significant step toward strengthening domestic energy production, reducing reliance on imports, and supporting Afghanistan’s long-term economic development.