Uzbekistan Aims for $52 Billion Investments to Modernize Energy Networks
Shavkat Mirziyoyev Presented Measures to Organize Energy Market Regulator
Shavkat Mirziyoyev, the President of Uzbekistan, has been briefed on measures to effectively organize the activities of the energy market regulator. The energy sector of Uzbekistan is currently undergoing consistent reforms, with changes made to the industry management system in the first stage. Over the past few years, 22 power plants have been commissioned, even in regions where there was previously no generation. Notably, private capital is being attracted to electricity production for the first time.
The country’s energy capacity has now reached 85 billion kilowatt-hours, and plans are underway to launch an additional 20 gigawatts of capacity in the coming years. It is expected that 9 gigawatts of generating capacity will be created through $7 billion in private investments. These developments are necessary to meet the growing needs of a dynamically developing economy and population.
To achieve this, it is estimated that $52 billion will be required to introduce new capacity and completely modernize networks, increasing the volume of electricity production to at least 120 billion kilowatt-hours. The Minister of Energy, J. Mirzamakhmudov, presented a report on the implementation deadlines provided for by the decree “On measures to carry out the next stage of energy sector reform” and outlined the planned work in the field.
During the presentation, the President provided specific instructions to responsible individuals regarding the development of a concept for power supply in the republic. The main condition for transitioning to a free energy market is the creation of sufficient generating capacity within the country to fully satisfy the demand for electricity.
Additionally, the task has been set to establish a unified electricity trading platform, which will be tested and launched by the end of 2024. The President emphasized the importance of strictly adhering to the requirement of selling electricity to the population at a single price in all regions of the country until 2035, as well as ensuring social protection when setting tariffs.
These measures and planned developments in the energy sector reflect Uzbekistan’s commitment to modernizing its energy infrastructure and meeting the increasing energy demands of its growing economy and population. With a comprehensive strategy in place, Uzbekistan aims to establish a well-functioning and efficient energy market that benefits both the industry and the people.
