7.9. Recent Developments within SAARC

♤ At the 18th Summit of SAARC in 2014, at Kathmandu, a SAARC Framework Agreement on Energy Cooperation (electricity) was signed. The rationale for signing the SAARC electricity trade agreement was the impending domestic energy crisis faced by individual member countries. For instance, Pakistan is struggling to meet its rising energy demands. Under this agreement:

o agreement is meant to be an overarching cooperative scheme that aims to address broad issues such as the enabling of cross border trade in electricity, the development of a common regulatory mechanism and the waiving of customs fees ♤ Two other agreements, the SAARC Motor Vehicles Agreement for the Regulation of Passenger and Cargo Vehicular Traffic and the SAARC Regional Agreement on Railways could to be signed at the 18th Summit due to last minute objections to them by Pakistan.