Energy Archives · Tashkent Citizen https://tashkentcitizen.com/tag/energy/ Human Interest in the Balance Fri, 02 Feb 2024 13:47:55 +0000 en-US hourly 1 https://tashkentcitizen.com/wp-content/uploads/2022/11/cropped-Tashkent-Citizen-Favico-32x32.png Energy Archives · Tashkent Citizen https://tashkentcitizen.com/tag/energy/ 32 32 Transport, energy co-op between Uzbekistan and Kazakhstan enhances https://tashkentcitizen.com/transport-energy-co-op-between-uzbekistan-and-kazakhstan-enhances/ Wed, 21 Feb 2024 13:30:35 +0000 https://tashkentcitizen.com/?p=5831 TASHKENT, Uzbekistan, February 2. Cooperation between Uzbekistan and Kazakhstan in the sphere of transportation and energy has significantly intensified, Trend reports.…

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TASHKENT, Uzbekistan, February 2. Cooperation between Uzbekistan and Kazakhstan in the sphere of transportation and energy has significantly intensified, Trend reports.

This was discussed during a meeting between Uzbekistan’s Prime Minister Abdulla Aripov and his Kazakh counterpart, Alikhan Smailov.

The delegation of Uzbekistan, headed by Prime Minister Abdulla Aripov arrived in Almaty (Kazakhstan) to participate in the Eurasian Intergovernmental Council and Digital Forum.

At the meeting, the sides noted the rapid development of strategic partnerships and alliances between the two countries in the spirit of friendship, good neighborliness, and mutual respect, and representatives of both countries defined specific tasks for further development of multilateral relations.

They also emphasized positive growth dynamics between Uzbekistan and Kazakhstan in all directions.

In particular, the volume of trade has more than doubled over the past 7 years, important joint projects are being implemented in various sectors of the economy, and interregional and cultural-humanitarian cooperation is expanding.

At the meeting, the parties exchanged views on these and other topical issues on the agenda.

Meanwhile, trade turnover volume between Uzbekistan and Kazakhstan amounted to $4.3 billion.

Source: Trend

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Are the Countries of Central Asia Ready to Solve the Water and Energy Problem? https://tashkentcitizen.com/are-the-countries-of-central-asia-ready-to-solve-the-water-and-energy-problem/ Tue, 09 Jan 2024 14:23:06 +0000 https://tashkentcitizen.com/?p=5657 The problem of effective management of water and energy resources is one of the most important for the…

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The problem of effective management of water and energy resources is one of the most important for the countries of Central Asia. This is due to the constantly growing population of the region, climate change, and, importantly, the need for further economic development of the Central Asian states.

According to an analysis by the Eurasian Development Bank (EDB), water shortages in Central Asia will be especially acute in five years, and by 2040 the load on water resources in the region will increase by 2.8 times. That is why the issue of creating a water-energy consortium (WEC) by the Central Asian states, which should resolve not only economic, but also a number of political issues, primarily related to the insufficient level of regional cooperation, has once again been put on the agenda.

The problem of insufficient water resources in Central Asia has existed for decades. It is known that there are two deep rivers in the region – the Amudarya and the Syr Darya, which are not enough to satisfy all the needs of the countries located here, which, in addition, have different economic interests. Thus, Kyrgyzstan and Tajikistan generate electricity and are interested in storing water in the summer in order to generate electricity in the winter, while Kazakhstan, Uzbekistan and Turkmenistan grow agricultural products and therefore need water in the summer season. During the existence of the USSR, the issue of water and energy balance was resolved through directive management from Moscow on the basis of the so-called barter. It consisted in the fact that in the summer Kyrgyzstan and Tajikistan supplied water to their neighbors, and in the winter Kazakhstan, Uzbekistan and Turkmenistan supplied them with fuel oil and gas for the operation of power plants. However, after 1991, the situation changed: countries began to take care of their own economic interests, simultaneously remembering each other’s old grievances. As a result, the Soviet barter system was destroyed.

Despite the fact that back in 1992, the Central Asian states began to look for compromise solutions, signing various bilateral agreements and even creating some regional associations for joint management of water and energy resources, it turned out to be impossible to finally solve the problem in this format. The most significant event was the signing in 1998 by Kyrgyzstan, Uzbekistan and Kazakhstan of a trilateral agreement on the use of water and energy resources in the Syr Darya basin. The document provided for “coordination and adoption of [joint] decisions on the passage of water,” as well as the rejection of unilateral actions that could harm other parties to the agreement.

At the same time, Kazakhstan and Uzbekistan pledged to compensate Kyrgyzstan for the discharge of water “in an equivalent volume of energy resources (coal, gas, heating oil, electricity), as well as other products (work, services) or in monetary terms as agreed.” At the same time, the heads of countries instructed the governments to prepare an intergovernmental agreement on the creation of an International Water and Energy Consortium.

However, over the years since then, the situation has not changed radically, and countries, due to financial issues, began to violate the agreements reached. The situation was aggravated by the fact that in 2009 Kyrgyzstan suspended its participation in the International Fund for Saving the Aral Sea (IFAS), which was one of the most important platforms for solving water problems in the region, and in 2016 it completely froze its membership in the organization.

At the same time, it cannot be said that the Central Asian countries did not try to change the current situation, relying on the agreements of 1998 and primarily in the area of creating the WEC. Another attempt to speed up the process was made by Kazakhstan, Kyrgyzstan, Tajikistan and Uzbekistan in July 2003, and a year later the general “Concept for creating an interstate water-energy consortium” was approved. However, even after this, things did not come to the signing of a final agreement on the WEC. Even the involvement of the UN and various international financial institutions could not help solve the problem.

The seriousness of the current situation in the Central Asian countries, of course, is well understood. That is why the idea of ​​creating a consortium did not go anywhere, and Kazakhstan turned out to be the main initiator of its promotion. In 2018, the then Kazakh leader Nursultan Nazarbayev noted that the time had come to “automate the system of management, distribution, accounting and monitoring of water resources in the Aral Sea basin,” including within the framework of the creation of the WEC. At the same time, he absolutely correctly pointed out that such a mechanism “will ensure transparency in the use of water by countries and strengthen mutual trust,” and therefore it is necessary to focus on the implementation of regional projects.

Representatives of other Central Asian countries subsequently made similar statements, but again things did not go beyond conversations. True, in recent years it has been possible to strengthen bilateral interaction between Uzbekistan and Kazakhstan, as well as Uzbekistan and Tajikistan, including on issues of joint financing of the construction of Rogunskaya hydroelectric power station and two hydroelectric power stations on the Zeravshan River. In addition, it was decided to restore the parallel operation of national energy systems through the United Energy System of Central Asia.

In the current situation, Astana tried to involve even the European Union in solving the problem, calling on Brussels to join in the creation of the WEC, including through its financing. This year, the new head of Kazakhstan, Kassym-Jomart Tokayev, again reminded everyone of the need to create a consortium “taking into account the interests of all countries in the region in the fields of irrigation, hydropower and ecology.” In this regard, he once again proposed developing a work plan for the introduction of a unified automated system for accounting, monitoring, management and distribution of water resources in the Aral Sea basin. Earlier it became known that it was planned to develop the water balance of the Syrdarya and automate interstate hydraulic structures.

2023, apparently, may well become a turning point in the creation of the WEC. This is primarily due to the fact that recently there has been a strengthening of regional cooperation in Central Asia, which has opened up additional opportunities for reformatting relationships, including on the issue of jointly solving problems of water and energy resource shortages. In particular, in July it became known that Kazakhstan included the development of the WEC in its Concept for the development of a water resources management system for 2023-2029. At the same time, the head of the Kazakh Foreign Ministry, Murat Nurtleu, spoke at the Asian Forum on Security and Cooperation, where he again proposed creating a consortium to “ensure fair and rational distribution of water resources in the region,” which, according to Astana, will help not only overcome water shortages, but also “ prevent possible conflicts in the future.”

At the same time, international structures, primarily the EDB, became more active in this direction. Back in March, at the UN Water Conference in New York, the organization presented five measures that could solve the problems of regulating the water and energy complex of Central Asia. In particular, it was proposed to hold a “constructive open discussion regarding the system of general principles for regulating the EEC of Central Asia with their subsequent agreement.” In addition, it was noted that the search for solutions needs to be carried out not only within the framework of already established institutions, but also to form a new mechanism for coordinating decisions on water resource management and electricity flows in the region. In this regard, the EDB proposed creating an International Water and Energy Consortium in the form of either a full-fledged international organization, or through “the creation of project consortia for a specific investment project.”

At the same time, the latter option is seen by EDB analysts as more acceptable, since it will allow for faster construction and more efficient operation of large hydraulic projects. In addition, it was proposed to direct more resources to conduct interstate and intersectoral research work and, in particular, to consider the possibility of creating an International Research Center for the EEC of Central Asia. And all this must have a stable structure of overall financing and management, since without this it will not be possible to solve the current problems in the region. In this regard, as it became known in November, the EDB reported that it was ready to invest more than $400 million in the development of the water and energy complex of Central Asia in the next three years, including in the modernization of the current irrigation infrastructure of the region.

The progress that has emerged today in the process of creating the EEC suggests that the Central Asian countries, with the support of international financial structures, are ready to take a serious step towards the implementation of this idea. It seems that all interested parties have come to realize the need to stop just exchanging opinions and finally begin to put into practice everything that they have been talking about for decades. Not only the issue of water resource management, but also the overall stability of the entire region depends on this.

Source: Asiais

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Kyrgyzstan Suggests to Focus on Implementation of Adopted Documents on Renewable Energy Sources https://tashkentcitizen.com/kyrgyzstan-suggests-to-focus-on-implementation-of-adopted-documents-on-renewable-energy-sources/ Tue, 21 Nov 2023 14:17:55 +0000 https://tashkentcitizen.com/?p=5315 AKIPRESS.COM – Development and implementation of renewable energy sources in the energy sector are essential for the modern world’s…

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AKIPRESS.COM – Development and implementation of renewable energy sources in the energy sector are essential for the modern world’s economic development and competitiveness, Chairman of Cabinet of Ministers Akylbek Japarov said at the 22nd meeting of the Counci of Heads of Government of the Shanghai Cooperation Organization member states on October 26 in Bishkek.

There are relevant documents and mechanisms for formulating coordinated proposals and initiatives in this direction, he said.

“We believe it is crucial to concentrate efforts on the implementation of signed and accepted documents in the field of renewable energy sources,” the Cabinet Chairman said.

Source: Akipress

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Livestream Event Leads Global Audiences to Central Asia’s Largest Wind Farm Built by Energy China https://tashkentcitizen.com/livestream-event-leads-global-audiences-to-central-asias-largest-wind-farm-built-by-energy-china/ Thu, 28 Sep 2023 11:00:00 +0000 https://tashkentcitizen.com/?p=4943 Beijing, China, Sept. 25, 2023 (GLOBE NEWSWIRE) — A webcast revealing the secrets of the largest wind power…

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Beijing, China, Sept. 25, 2023 (GLOBE NEWSWIRE) — A webcast revealing the secrets of the largest wind power project in Central Asia was held in Bukhara, Uzbekistan on Sept. 25.

The event was hosted by Global Times Online and gave global audiences an exclusive look inside the Uzbekistan Bukhara Wind Power Project – Central Asia’s largest wind farm with a total installed capacity of 1GW, built by Energy China.

As Energy China’s first mega new energy project in Central Asia, the Uzbekistan Bukhara Wind Power Project is the largest wind farm under construction in the region. 

It consists of 158 wind turbines each with a capacity of 6.5MW, along with associated substations and transmission lines. Once operational, the project is expected to generate around 3.5 billion kWh of clean electricity on an annual basis for Uzbekistan, equivalent to reducing 1.6 million tons of carbon emissions. This will directly benefit millions of Uzbekistan residents, and provide nearly 500 local jobs.

The project holds great significance for improving Uzbekistan’s power supply and promoting the country’s industrial upgrading. It also showcases China’s leading technologies and solutions in the sphere of green and renewable energy.

The webcast took audiences worldwide right to the wind farm, with close-up footage of the transport and installation of the longest wind turbine blades in Central Asia. Audiences took in majestic sights of the towering turbines and massive 33-story-high blades, and saw the interior of the giant wind turbine towers supporting these colossal structures. 

It also shared with audiences the touching stories of the profound friendships forged between Chinese and Uzbekistani staff. 

Over the years, Chinese enterprises have been actively engaging in renewable energy projects worldwide, fully demonstrating their willingness to take on international responsibility, make concrete efforts to combat climate change, and promote global green and low-carbon development.

Source: Globe News Wire

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Tajikistan’s Energy Efficiency Initiatives: Progress and Prospects https://tashkentcitizen.com/tajikistans-energy-efficiency-initiatives-progress-and-prospects/ Fri, 07 Jul 2023 15:00:00 +0000 https://tashkentcitizen.com/?p=4253 Tajikistan’s Energy Efficiency Initiatives: Progress and Prospects Tajikistan, a landlocked country in Central Asia, has been making significant…

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Tajikistan’s Energy Efficiency Initiatives: Progress and Prospects

Tajikistan, a landlocked country in Central Asia, has been making significant strides in improving its energy efficiency and reducing its dependence on imported fossil fuels. With abundant hydropower resources, the country has the potential to become a regional leader in clean energy production. In recent years, the government of Tajikistan has implemented various energy efficiency initiatives to capitalize on this potential and promote sustainable development.

One of the key factors driving Tajikistan’s focus on energy efficiency is the country’s reliance on imported fossil fuels, particularly natural gas. In the past, Tajikistan has faced energy shortages and supply disruptions due to its dependence on imported gas from neighboring countries. This has led to a greater emphasis on developing domestic energy resources, particularly hydropower, which accounts for over 90% of the country’s electricity generation.

In order to harness its hydropower potential, Tajikistan has been investing in the construction of new hydropower plants and the modernization of existing facilities. The Rogun Dam, currently under construction, is expected to be the world’s tallest dam upon completion and will significantly increase the country’s hydropower capacity. Additionally, the government has been working to improve the efficiency of existing hydropower plants through the implementation of modern technologies and equipment.

Apart from large-scale hydropower projects, Tajikistan has also been promoting small-scale renewable energy solutions, such as solar and wind power. These decentralized energy sources can provide electricity to remote and off-grid communities, reducing their reliance on imported fossil fuels and promoting sustainable development. The government has introduced various incentives and subsidies to encourage the adoption of renewable energy technologies, including tax exemptions and preferential tariffs for renewable energy producers.

Energy efficiency measures have also been implemented in various sectors of the economy, including industry, agriculture, and residential buildings. In the industrial sector, the government has been promoting the adoption of energy-efficient technologies and equipment, as well as the implementation of energy management systems. This has led to significant energy savings and reduced greenhouse gas emissions in industries such as cement production, mining, and metallurgy.

In the agricultural sector, the government has been promoting the use of energy-efficient irrigation systems and the modernization of agricultural machinery. This has not only led to energy savings but also improved water management and increased agricultural productivity. Moreover, the government has been working to improve the energy efficiency of residential buildings through the implementation of building codes and standards, as well as the promotion of energy-efficient appliances and lighting.

Despite these efforts, Tajikistan still faces several challenges in achieving its energy efficiency goals. One of the main challenges is the lack of adequate financing for energy efficiency projects, particularly in the private sector. Limited access to capital and high upfront costs often deter private investors from investing in energy efficiency measures. To address this issue, the government has been working with international organizations and development partners to secure funding and technical assistance for energy efficiency projects.

Another challenge is the lack of awareness and capacity among stakeholders, including policymakers, businesses, and consumers, about the benefits of energy efficiency and the available technologies and solutions. To overcome this barrier, the government has been implementing various awareness-raising campaigns and capacity-building programs, targeting different sectors of the economy.

In conclusion, Tajikistan has made significant progress in improving its energy efficiency and reducing its dependence on imported fossil fuels. The country’s abundant hydropower resources and the government’s commitment to promoting sustainable development provide a solid foundation for further progress in this area. However, addressing the challenges of financing and capacity-building will be crucial for the successful implementation of energy efficiency initiatives and the realization of Tajikistan’s clean energy potential.

Source: Energy Portal

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President of Kazakhstan to Pay State Visit to China Next Week https://tashkentcitizen.com/president-of-kazakhstan-to-pay-state-visit-to-china-next-week/ Wed, 17 May 2023 14:15:33 +0000 https://tashkentcitizen.com/?p=3761 President of Kazakhstan Kassym-Jomart Tokayev will pay a state visit to China on May 17-19, reported the Akorda…

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President of Kazakhstan Kassym-Jomart Tokayev will pay a state visit to China on May 17-19, reported the Akorda press service on May 8. 

The President is expected to meet President of China Xi Jinping in the Chinese city of Xi’an to address the strategic partnership between the two countries, expanding cooperation in trade, economic, investment, transport and logistics and energy sectors, as well as deepening cultural and humanitarian ties.

The President also plans to meet with the leaders of major Chinese companies and take part in the China + Central Asia (C+C5) Summit.

Source: Astanatimes

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DABS: Uzbekistan’s Imported Power Normalizes https://tashkentcitizen.com/dabs-uzbekistans-imported-power-normalizes/ Sun, 19 Feb 2023 20:16:00 +0000 https://tashkentcitizen.com/?p=2922 The country’s power distributor, Da Afghanistan Breshna Sherkat (DABS), said that it has been three days since the…

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The country’s power distributor, Da Afghanistan Breshna Sherkat (DABS), said that it has been three days since the electricity imported from Uzbekistan has returned to normal.

According to the DABS officials, Kabul residents now have nine hours of electricity in 24 hours.

“We don’t have any problems right now; we have provided 9 hours of electricity for factories from 400 megawatts of electricity imported from Uzbekistan and our own domestic power output for nine hours and the work of industrialists is going on. We have also provided electricity for the citizens of Kabul for five hours during the day and four to five hours at night,” Hekmatullah Akhundzada, director of Kabul DABS, said.

However, according to the Afghanistan Chamber of Industry and Mines, industrial parks only have nine hours of electricity each day, which is insufficient to produce domestic goods.

“In the last month, the country’s industries, especially in Kabul, were halted due to the lack of electricity and about 90% of our factories were stopped, but now 50% of them returned to normal,”Sakhi Ahmad Payman, the deputy of the Afghanistan Chamber of Industries and Mines, said.

“For the industrial process, eight to nine hours of power are insufficient. For the production process, at least normally, 18 to 20 hours of power are required. In an emergency, however, just 14 to 15 hours are needed,” Mohammad Karim Azimi, executive director of the Kabul Chamber of Industries and Mines, said.

Some factory owners meanwhile said that the lack of sufficient electricity has caused the industrialists to face problems. They asked the Islamic Emirate to provide more electricity to the factory owners.

“The lack of sufficient electricity weakens the economic growth of industrialists and the residents of the country. The nation’s economy will grow on its own if the government constructs a power supply and provides residential electricity,” Khal Mohammad Tajik, a factory owner, said.

According to Da Afghanistan Breshna Sherkat (DABS), the industrial parks of Kabul need 160 megawatts of electricity, and DABS has now been able to provide 70 to 100 megawatts of electricity for the factories of Kabul.

Source: tolo news

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Winter Tests Central Asia’s Decrepit Energy Systems, People’s Patience https://tashkentcitizen.com/winter-tests-central-asias-decrepit-energy-systems-peoples-patience/ Sun, 04 Dec 2022 08:44:05 +0000 https://tashkentcitizen.com/?p=2593 People shiver inside their homes after a power-plant failure in Kazakhstan. A village in Tajikistan can’t pump water…

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People shiver inside their homes after a power-plant failure in Kazakhstan. A village in Tajikistan can’t pump water due to blackouts. Streetlight are used in a “restricted” capacity in the Uzbek capital, Tashkent.

Not for the first time, the cold season is throwing Central Asia’s energy shortages into sharp relief and giving hurting populations more reasons to be angry with their governments during an economic crunch.

“The shortages are caused largely by mismanagement,” Alisher Khamidov, an expert based in the Kyrgyz capital, Bishkek who consults on development projects, told RFE/RL. “There are huge losses of electricity, up to 40 percent in some of these countries, because the grid networks are so outdated and governments have not renovated them in years.”

Nothing Left To Spare?

In Safarmoh Bobohonova’s village 10 kilometers from the Tajik city of Kulob, daytime electricity came to a halt when scheduled blackouts began in October.

But that was the least of her problems, she told RFE/RL’s Tajik Service. “The water pump needs electricity to work. And so we haven’t had water for a month,” Bobohonova said.

Tajikistan's annual blackouts are growing longer from week to week and are forcing residents to turn to coal.
Tajikistan’s annual blackouts are growing longer from week to week and are forcing residents to turn to coal.

In settlements around Tajikistan — although not in the big cities — annual blackouts are growing longer from week to week and are forcing residents to turn to coal.

Yet amid across-the-board inflation, coal prices have spiked 20 percent this year — a situation that traders told RFE/RL had been exacerbated by increases in road tolls levied by an omnipotent toll-collecting company.

But it is Central Asia’s most energy-rich country that has provided the most stunning evidence of the energy collapse this winter.

Ekibastuz, a city of 150,000 people in northern Kazakhstan, sits close to two of Central Asia’s largest coal mines and just 15 kilometers from a power station that supplies around 15 percent of the country’s energy.

Yet the smaller, privately owned power station that supplies the city itself and is now almost 70 years old broke down on November 27, just as temperatures plunged to -30 degrees Celsius.

In the days since the crash, footage has shown residents preferring to stand by fires instead of freezing in their apartments or face a crush to try and get an electric heater.

Temperatures plunged in Ekibastuz last week.
Temperatures plunged in Ekibastuz last week.

Residents of the northeastern city of Oskemen have also reported central-heating issues. A representative of the power station told RFE/RL’s Kazakh Service that plans to expand the station to meet growing demand were interrupted by geopolitical fallout from Russia’s invasion of Ukraine, with a Russian supplier unwilling to supply parts for the rebuild.

Four of the five Central Asian countries — gas-rich, information-scarce Turkmenistan being the exception — have suffered power shortages in the last month.

Uzbekistan witnessed rare — if small — provincial protests over power shortages two years ago, and the shortages are looking similarly acute this year.

In the first half of November, a key fertilizer plant in the agriculture-rich Ferghana region ended production nearly two months ahead of schedule due to gas shortages, employees of the Ferganaazot company complained to RFE/RL’s Uzbek Service.

The Ferghanaazot plant
The Ferghanaazot plant

In Tashkent, the state company responsible for street lighting in the capital explained that nighttime illumination of central streets would be “restricted” from November 16. “We hope residents and guests of Tashkent will understand the temporary inconveniences in the…night and will also take an active part in solving the common problem of using electricity rationally and optimally,” the Toshshaharnur company said.

While Kazakhstan and Uzbekistan look to thermal power plants for the biggest share of their energy mix, in Kyrgyzstan and Tajikistan hydropower plays an important role in keeping the lights on.

That makes the volume of glacier-fed reservoirs adjoined to hydroelectric power stations like Toktogul in Kyrgyzstan and Nurek in Tajikistan a perennial worry for the region’s two poorest governments.

But an expert interviewed by RFE/RL’s Tajik Service argues that Tajik electric company Barqi Tojik did not have that excuse this season, suggesting that the rolling blackouts in villages this year reflected Dushanbe’s priorities. “Industrial plants receive electricity in unlimited volumes and we know that electricity is being exported to Afghanistan,” economist Abdurahmon Hakimzade said. “We should satisfy the people of Tajikistan with electricity first.”

Russia’s Offers, Renewables Drive

For the two countries with larger populations and bigger budgets — Kazakhstan and Uzbekistan — energy diversification is a visible priority.

As Ekibastuz froze, Kazakh President Qasym-Zhomart Toqaev was on a visit to Paris, where Kazakhstan and France signed agreements including a nearly $2 billion deal for a wind farm in Kazakhstan’s southern Jambyl region — a part of the country where the power deficit is particularly pressing.

Tashkent has also embarked on a renewables drive and signed deals worth $12 billion with Saudi Arabia in August that included plans for the world’s largest wind farm and other green energy projects.

And Russia, a thorny but long-standing energy partner for the region, does not want to feel left out. Prior to the Kremlin launching an unprovoked, full-scale war in Ukraine in February, Moscow’s Rosatom had offered to build nuclear power stations in both Kazakhstan and Uzbekistan.

But while Rosatom has yet to fall directly under Western-led sanctions, the war has added more than an element of uncertainty to those potential mega-projects.

Earlier this week, the presidential administrations of Russia and Kazakhstan confirmed that Russian President Vladimir Putin had proposed a “three-sided gas union” with Astana and Tashkent during a November 28 meeting with Toqaev in Moscow.

Neither country has thus far given any indication that it wishes to join such a union.

For both states, gas shortages are a straitjacket, not least because they interrupt potentially lucrative trade with China, the region’s biggest purchaser of natural gas.

In June, Sanzhar Zharkeshov, the chief of Qazaqgaz, Kazakhstan’s natural-gas company, warned officials and lawmakers that exports would not be viable next year unless there were radical changes in the sector.

One of the biggest problems, he said, were low domestic gas prices that make extraction unappealing.

This is the same argument made by the Kazakh Energy Ministry, which has complained that low tariffs for heating give power providers — especially private ones — limited incentives to overhaul outdated infrastructure.

But Khamidov, the consultant, says the fatal unrest in Kazakhstan this January ignited by an overnight spike in the cost of liquified petroleum gas (LPG) is an example of why Central Asian leaders will be very cautious about any proposals to increase energy prices for its citizens.

“Governments find it more convenient maintaining Soviet-era centralized subsidies because this keeps people calm, even if the infrastructure is falling apart,” Khamidov said.

On January 25, parts of Kazakhstan, Kyrgyzstan, and Uzbekistan — the three surviving members of the conjoined Central Asia Power System, a Soviet-legacy super-grid — all suffered blackouts in an event that some observers linked to excess demand from a boom in regional cryptocurrency mining.

Source : TheIndianExpress

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