Press Release

Ambassador Wayne Joins International Donors in Supporting Afghan Government’s Launch of a New Electric Utility Corporation

Kabul, Afghanistan  | Wednesday, September 30, 2009

Photo: U.S. Embassy/Kabul

Ambassador E. Anthony Wayne (seated, second from right), Coordinating Director for Development and Economic Affairs, joined Afghan officials (from left to right: Minister of Urban Development Pashtun, Minister of Economy Shams, Minister of Energy and Water Khan and Minister of Finance Zakhilwal), and other international donors to announce the Afghan Government’s launch of a new utility corporation on September 30, 2009 in Kabul.

“The creation of this new electrical utility corporation  demonstrates the Afghan Government’s continued commitment to provide electricity, an essential public service, in a way that will improve the lives and prosperity of the people of this great country.” – Ambassador E. Anthony Wayne

The Government of the Islamic Republic of Afghanistan, today took a critical step to establish the new national electricity corporation, Da Afghanistan Breshna Sherkat (DABS), laying the foundation for commercialization in the country’s energy sector that will lead to improved services for the Afghan people.  DABS is owned by the Government of Afghanistan, but will introduce private-sector practices into its business operations, such as setting new salary rates for employees and more efficient billing and collection practices.

The United States, the World Bank and other international donors have worked closely with Afghanistan’s government to establish the new public company as a commercialized, public entity that will be able to help further increase the amounts of electricity available for Afghans’ houses and businesses. 

The U.S. Government, through USAID, has invested $4 million in DABS to date and pledged another $40 million over the next two years as part of its overall $1.7 billion energy sector program in Afghanistan.

Dr. Omar Zakhilwal, Minister of Finance, Dr. Mohammad Jalil Shams, Minister of Economy, Mohammad Ismael Khan, Minister of Energy and Water, and Yousef Pashtun, Minister of Urban Development attended the ceremony at the Finance Ministry.  Craig Steffensen, the Country Director of the Asian Development Bank, Paul Edwin Sisk, Acting Country Manager for the World Bank, and representatives of other international donors also participated in the ceremony.

“The Afghan Government’s decision to create this new utility is an important sign that it is moving ahead with needed reforms that will benefit the Afghan people,” said Ambassador E. Anthony Wayne, Coordinating Director for Development and Economic Affairs at the U.S. Embassy.

“Energy is essential to a country’s development.  Enhanced access to energy stimulates economic growth, provides social opportunities, and improves the quality of life,” the Ambassador added.

The DABS is another step in Afghanistan’s efforts to overhaul the energy sector and implement projects that will provide more and cheaper electricity to the people of Afghanistan.