The Saarc Framework Agreement on Energy Cooperation has been signed on Thursday afternoon aimed at trading electricity from one country to another and erecting trans-boundary power grids.
All the foreign ministers from the eight Saarc member countries signed the deal on behalf of their respective countries on the second and last day of the 18th Saarc Summit.
Sri Lankan President Mahinda Rajapaksa, Afghan President Ashraf Ghani, Maldivian President Abdulla Yameen Abdul Gayoom, Indian Prime Minister Narendra Modi, Bangladesh Prime Minister Sheikh Hasina, Nepalese Prime Minister Sushil Koirala and Bhutanese Prime Minister Tshering Tobgay witnessed the signing at the City Hall of Nepalese Capital.
After the signing ceremony, the Nepalese Prime Minister said the ministers concerned of the all member countries would sit again within the next three months to discuss the Saarc agreement on motor vehicles and Saarc Agreement on Railway Service.
Although disappointed with Pakistan’s stance, India did not give up its pursuit for regional connectivity, initiating bilateral deals with other flexible Saarc countries such as Tuesday’s Motor Vehicle Agreement with Nepal, sources said.
Later on Thursday, the Saarc nations agreed to sign the energy deal. They also agreed to give three months time for approval of regional motor vehicle and railway agreements.
The South Asian Association for Regional Cooperation (Saarc) Summit kicked off in the Nepalese capital Kathmandu yesterday morning, with the theme “Deeper Integration for Peace and Prosperity.”
Nepalese Prime Minister Sushil Koirala inaugurated the two-day regional jamboree at the City Hall, when the Maldives handed over chairmanship to Nepal. This is the third time that Nepal is hosting the Summit after 2002 and 1987.
The leaders of the eight member countries delivered spoke in the inaugural session. Nine observers from China, USA, Australia, Japan, South Korea, Mauritius, Myanmar, Iran and the European Union are also attending the Summit.