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Iran, Tajikistan Start $220 Million Hydro Power Plant, IRNA Says

Iran and Tajikistan started a $220-million hydro power station jointly built in the Central Asian country, the official Islamic Republic News Agency reported.

Iran’s President Mahmoud Ahmadinejad, who was on the second day of his trip to Tajikistan, and his counterpart Emomali Rakhmon attended the ceremony today for the start of the first unit of the Sangtoudeh-2 plant, IRNA said.

Tajikistan is one of the most vulnerable economies in Central Asia as it doesn’t have the energy resources of other countries in the region, the International Monetary Fund said in April. Iran will invest $180 million and Tajikistan $40 million in the plant, which has two units with an output capacity of 110 megawatts each, according to IRNA.

Construction started in 2006 by an Iranian company, according to IRNA. The plant’s revenue will go to Iran for 12 years after which its ownership will be transferred to Tajikistan, it said. Annual trade between the nations amounts to about $200 million, according to Iran’s foreign ministry.

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