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Bayat Power showcases clean energy achievements and vision at Kabul’s Green Growth Forum

Business and development leaders convene in Kabul to advance financing and partnerships for a greener future

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In a landmark effort to boost Afghanistan’s renewable energy sector and accelerate economic recovery, Kabul this week hosted the “Partnerships for Green Growth: Business-to-Business Convening on Renewable Energy Investments.”

Held on Wednesday and Thursday, June 25 and 26, the high-level event brought together national and international stakeholders under the theme “Accelerating Investments Through Partnerships and Facilitating Access to Finance.”

Amidst a fragile but gradually recovering economy, Afghanistan continues to face a stark energy deficit that hampers industrial growth, limits delivery of essential public services, and impacts the quality of life for millions. Despite vast solar, wind, and hydro resources, only a fraction of the country’s renewable energy potential has been harnessed.

According to UNDP, this persistent energy gap is a major development challenge. “Closing this gap requires urgent and inclusive investment, with a strong focus on scaling up renewable energy solutions that are resilient, decentralized, and adapted to Afghanistan’s diverse geography,” the agency stated.

“Attracting investment in the renewable energy sector is not only necessary, but also strategically advantageous,” UNDP added.

“The Afghan energy market holds considerable potential, particularly in regions where off-grid and mini-grid systems can rapidly transform local economies” – UNDP

The agency emphasized that unlocking this potential requires proactive dialogue and collaboration among development partners, the private sector, and local stakeholders, along with showcasing bankable opportunities and de-risking tools.

This week’s forum served as a strategic platform to address these issues by connecting investors, development partners, and policymakers to explore new financing models and partnerships.

Organized in collaboration with the United Nations Development Programme (UNDP), the Afghanistan Chamber of Commerce and Industries (ACCI), and the Afghanistan International Bank (AIB), the conference spotlighted the Green Economy Financing Facility (GEFF)—an initiative designed to mobilize sustainable investments using Shariah-compliant financial tools and blended finance models.

Bayat Power Highlights Local Capacity and Innovation

A key voice at the event was Bayat Power, Afghanistan’s first private company in over 40 years to establish and operate a domestic gas-fired power plant.

In his address to delegates, Lutfullah Stanikzai, Business Development Director of Bayat Power, reaffirmed the company’s long-term commitment to energy independence.

Founded in 2013 under the Bayat Group, the company launched Bayat Power-1 in 2019 as a public-private partnership with DABS, the Ministry of Energy and Water, Afghan Gas State-owned Company, Siemens Energy, and others. Since then, the plant has produced over 1 billion kilowatt-hours of electricity, powering homes, hospitals, schools, mosques and businesses across the country.

Stanikzai emphasized the company’s use of cutting-edge technologies—including Siemens’ SGT-A45 mobile gas turbines, among the most efficient in the world—and its deployment of over 1,000 smart meters in Kabul as part of a pilot project to improve grid efficiency.

“Our efforts have not only powered essential public services but also generated thousands of direct and indirect jobs, contributing to economic stability and workforce development,” Stanikzai said. He added that Bayat Power’s tax contributions and gas purchases support national revenue generation.

“Afghanistan deserves cutting-edge solutions, not outdated technology,” he stressed. “We are committed to deploying modern systems that offer both performance and environmental sustainability.”

Looking ahead, Bayat Power is expanding into solar, wind, and thermal energy projects and seeking to engage international partners for technical collaboration and investment.

“Our long-term vision aligns with Afghanistan’s goal of a resilient and self-reliant energy future,” Stanikzai concluded.

Bayat Power’s presentation stood out as a compelling example of what can be achieved through innovation, private-public collaboration, and a deep commitment to national development.

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Food prices surge 20% in Afghanistan as Hormuz crisis disrupts supply routes

Aylieff warned that if the situation continues, it could lead to widespread hunger, particularly among children, and may even result in preventable deaths.

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The World Food Programme (WFP) says food prices in Afghanistan have risen by 20 percent amid the ongoing crisis in the Strait of Hormuz, raising serious concerns over worsening food insecurity across the country.

John Aylieff, WFP Country Director in Afghanistan, told The Guardian on Monday (May 4) that the transportation of food supplies to Afghanistan is now taking around three weeks longer than usual. He added that rising fuel prices have significantly increased logistics and transport costs.

According to him, the cost of delivering humanitarian food assistance to Afghanistan has tripled due to the disruption, placing millions of vulnerable people at greater risk of losing access to essential aid.

Aylieff warned that if the situation continues, it could lead to widespread hunger, particularly among children, and may even result in preventable deaths.

He further explained that shipments of fortified biscuits—previously transported through the Strait of Hormuz—are now being rerouted through overland corridors passing through seven countries, making deliveries longer, more expensive, and more complex.

The disruption comes amid heightened tensions in the region involving the United States, Israel, and Iran, which have led to rising oil prices, global trade disruptions, and increased costs of basic food commodities worldwide.

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Germany faces mounting criticism over alleged IEA coordination

However, the investigations allege that not only convicted individuals but also some single Afghan men without criminal records may have been targeted, intensifying criticism.

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Germany’s deportation of Afghan nationals is drawing growing scrutiny following reports of closer-than-acknowledged coordination with the Islamic Emirate of Afghanistan (IEA).

An investigation by Germany’s public-serve TV broadcaster ZDF and its program ZDF Magazin Royale found that deportations were facilitated through multiple meetings between German officials and IEA representatives.

These reportedly took place at the Bonn office of the Federal Office for Migration and Refugees (BAMF) and at Berlin Brandenburg Airport, with a parallel probe by another Germany media company Norddeutscher Rundfunk confirming the contacts.

According to the reports, Afghan nationals were presented to IEA-linked officials to prepare deportation documents. Footage captured in April showed individuals identified as consular representatives leaving BAMF premises after meetings tied to deportation planning. German authorities described the interactions as “federal police measures,” insisting contacts remain technical and do not amount to formal recognition of the IEA.

The deportations form part of a broader tightening of migration policy. Interior Minister Alexander Dobrindt has defended the removals, particularly of convicted offenders, as a “crucial element” of enforcement. In recent months, Germany has carried out several deportations, including direct flights to Kabul and charter removals of Afghan men convicted of crimes.

However, the investigations allege that not only convicted individuals but also some single Afghan men without criminal records may have been targeted, intensifying criticism.

Human rights groups warn that deportations to Afghanistan could breach international law.

More than 250 NGOs have accused Berlin of failing to uphold protection commitments, while legal advocates caution that deportations may be carried out without adequate individual assessments.

The issue reflects a wider European dilemma. Several countries, including Austria, Greece, and the Netherlands, are exploring external arrangements such as “return hubs” to manage deportations. At the same time, EU engagement with IEA authorities — including recent visits to Kabul — has fueled concern among lawmakers that coordination could lend the group greater legitimacy.

Despite the criticism, Berlin has signaled it will continue deportations as part of a stricter migration approach, even as debate intensifies over the legal, ethical, and political implications of returning Afghans to Afghanistan.

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Austrian interior minister heads to Uzbekistan to finalize Afghan deportation deal

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Austria is expected to finalize a new migration agreement with Uzbekistan this week, with Interior Minister Gerhard Karner due to travel to Tashkent on May 7 to seal the deal that would see Afghan nationals deported via the Central Asian country.

According to Austrian media reports, Karner will be joined by Foreign Minister Beate Meinl-Reisinger for the visit, which is aimed at strengthening bilateral cooperation on migration and formalizing Uzbekistan as a key transit route for deportations.

The agreement would allow Afghan deportees to be transferred through Uzbekistan en route to Kabul, creating what officials describe as a “second route” alongside existing deportation pathways, which have largely been conducted via Istanbul.

Karner has said the deal would help establish “the conditions for the consistent implementation of deportations as part of a firm and fair asylum policy.” It is also expected to include provisions on the readmission of nationals, third-country citizens, and stateless individuals who entered the European Union through Uzbekistan.

The development follows reports last week that Austria planned to sign such an agreement as part of a broader European push to tighten migration controls and expand deportation mechanisms. Several European Union member states — including Denmark, Greece, Germany and the Netherlands — are exploring similar arrangements, including the use of so-called “return hubs” outside the bloc.

Austria has already deported several Afghan nationals since last year, signalling a shift in policy following the Islamic Emirate’s return to power in 2021. Officials say the proposed Uzbekistan route would play a key role in facilitating returns, particularly to Afghanistan.

Interior Ministry spokesman Markus Haindl previously described the deal as an important step in creating a viable transit pathway for deportations “especially Afghanistan,” underscoring Vienna’s efforts to accelerate removals of migrants without legal status.

In return, the agreement is expected to include measures to support legal migration from Uzbekistan to Austria, particularly focusing on the safe and regulated movement of skilled workers.

Uzbekistan, which remains heavily reliant on remittances from citizens working abroad, has in recent years sought to diversify migration destinations beyond traditional routes, particularly Russia.

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