While China's pledged a substantial $9.5 billion bailout for Pakistan, a surprising twist unfolds as Iran deals a setback to the China Pakistan Economic Corridor (CPEC) and Gwadar Port by discontinuing electricity supply to Pakistan's Balochistan province, including the Gwadar district.
While China's pledged a substantial $9.5 billion bailout for Pakistan, a surprising twist unfolds as Iran deals a setback to the China Pakistan Economic Corridor (CPEC) and Gwadar Port by discontinuing electricity supply to Pakistan's Balochistan province, including the Gwadar district.
The city of Islamabad relies on Iran for crucial electricity supply to the Balochistan region, home to the strategic Gwadar Port, a cornerstone of the expansive CPEC project.
Recent disruptions in power provision have severely impacted Turbat, Panjgur, and Gwadar districts within Pakistan's Makran division, following Iran's suspension of the 100 MW electricity supply traditionally provided to this area.
Reports indicate that Pakistan's efforts to restore power from Iran yielded only a partial success, with Makran now receiving a mere 20 MW of the initially allotted 100 MW.
It's worth noting that a bilateral agreement signed in June 2022 had paved the way for an additional 100 MW of electricity supply from Iran to Pakistan.
Balochistan residents have long contested the CPEC infrastructure project, extending from Gwadar Port in Balochistan to China's Xinjiang Province. This opposition has resulted in ongoing protests and sit-ins in Gwadar, with the latest wave of unrest sparked by Maulana Hidayat-ur-Rehman, the leader of Haq Do Tehreek (HDT), a previously lesser-known politician from the Jamaat-e-Islami (JI).
The strategic importance of Gwadar Port in China's military ambitions within the Indian Ocean Region cannot be understated, raising concerns about its potential transformation into a military base in the future.