Uzbekistan Environment - The Times Of Central Asia

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Central Asia Faces Devastating $9 Billion Annual Loss from Climate Crises

Central Asia faces a complex mix of development challenges, according to a study conducted by the Analytical Credit Rating Agency (ACRA). These include global issues such as climate change, rising inequality, and demographic shifts, alongside regional concerns like water crises, aging infrastructure, border conflicts, and lack of access to sea routes. The region’s challenges can be categorized into external and internal risks. Since gaining independence, Central Asia has been shaped by the influence of global powers. Trade, security, energy, and education ties with Russia remain strong, while China’s Belt and Road Initiative has led to significant investment in infrastructure. Western nations and multinational corporations are active primarily in the raw materials sector, particularly in Kazakhstan, Uzbekistan, and Turkmenistan. While these international connections drive economic growth, they also heighten the region’s vulnerability to global shocks. For example, heavy reliance on remittances from migrant workers and low export diversification increase economic fragility. Climate change poses one of the most pressing threats to the region. Natural disasters—including floods, which affect about one million people annually, and earthquakes, impacting two million - result in $9 billion in annual GDP losses. Rising temperatures are expected to exacerbate issues such as water scarcity, droughts, heat waves, and the loss of agricultural land. Adopting sustainable development practices and green technologies could help mitigate these effects. Aging water and energy infrastructure is a major hurdle for the region. Energy insecurity, compounded by climate change, limits economic potential. Despite a rise in foreign investment from $1.5 billion in 2000 to $7.4 billion in 2023, the majority of funds are concentrated in raw materials, with only a small share allocated to infrastructure improvements. Transport development is equally critical. The lack of sea access places Central Asia at a 20% developmental disadvantage compared to coastal nations. Expanding roads, railways, and logistics hubs could significantly enhance regional and international trade. Territorial disputes, particularly around enclaves, remain a source of periodic clashes, with the Kyrgyz-Tajik border clashes of 2022 being a notable example. While these conflicts may not immediately affect economic stability, escalations could damage the region’s investment climate and trade prospects. A peace agreement signed later in 2022 has helped to stabilize the situation. Additionally, the situation in Afghanistan continues to present challenges, including terrorism, refugee flows, and border security concerns. These risks intensified following the regime change in Afghanistan in 2021, increasing the urgency for stronger border controls. Addressing these interconnected challenges will require coordinated efforts among all Central Asian nations. International organizations and major global partners must also play a role by supporting infrastructure and technological modernization. Such collaboration is essential to mitigating economic risks and fostering long-term development in the region.

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Central Asia’s Pivotal Role in the Global Energy Transition

The United States and Europe are driving a global shift from fossil fuels to renewable energy, though progress has been slow. Central Asia’s oil, gas, uranium, and green hydrogen resources are expected to remain vital for Europe and global energy security for years to come. Within Central Asia, a shift to cleaner natural gas and nuclear energy is anticipated to replace coal-fired power, reducing environmental harm. Europe’s push for electrification has also renewed focus on nuclear energy, increasing the strategic and commercial value of Central Asia’s uranium deposits. On December 16, 2024, The Times of Central Asia, in cooperation with the Central Asia-Caucasus Institute and the American Foreign Policy Council, hosted a Burgut Expert Talk titled, "Central Asia in the Energy Transition". The event featured presentations by Dr. Svante Cornell and Dr. Brenda Shaffer, who outlined their takes on the topic. The discussion focused on Central Asia’s significant role in the global energy landscape, particularly in light of the push for renewable energy and Europe's efforts to diversify its energy sources. Challenging the notion of a true "energy transition," Shaffer argued that despite substantial investment in renewable energy, fossil fuels remain dominant. Shaffer pointed out that traditional biomass burning continues to be a major energy source in developing countries, posing significant health risks. Highlighting the fact that renewables often rely on a baseload of fossil fuels, Shaffer noted that this makes complete reliance on renewables impractical, especially in regions with harsh winters, such as Central Asia. Dr. Shaffer further emphasized that European policies, including the reluctance to finance fossil fuel projects and the instability of U.S. LNG exports, serve to hinder diversification efforts. Stressing the need for affordable and accessible energy solutions - particularly for developing countries - to address the issue of indoor pollution caused by traditional biomass burning, she argued that natural gas can serve as a bridge fuel, offering a cleaner alternative to traditional methods. Dr. Cornell focused on the rising importance of Central Asia as a major uranium producer, supplying a crucial element for nuclear energy, which is gaining renewed interest as a low-carbon energy source. Cornell highlighted the dependence of the EU on uranium imports and the potential for Central Asia, particularly Kazakhstan, to play a pivotal role in supplying this demand. Outlining the geopolitical dynamics surrounding uranium, Cornell noted the involvement of France, Russia, and China in Central Asia's uranium sector, emphasizing the importance of Central Asian states maintaining a balance in their foreign relations and partnering with various countries to ensure their independence in the uranium market. Drawing parallels to the oil and gas diplomacy of the 1990s - when Central Asian countries strategically engaged with multiple actors to safeguard their interests - Cornell advocated for the development of a robust domestic nuclear industry in Central Asia, enabling the region to move beyond raw material production and gain greater control over the value chain. Cornell also stressed the need for Western powers to actively engage in the region's nuclear sector, supporting the development...

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AIIB Approves $250 Million to Support Uzbekistan’s Climate Transition

The Asian Infrastructure Investment Bank (AIIB) has approved a $250 million program to support Uzbekistan’s transition to a green and sustainable economy. The funding will help Uzbekistan achieve its goal of reducing greenhouse gas emissions per unit of GDP by 35% by 2030, compared to 2010 levels, and foster sustainable economic growth. The program focuses on three key areas. First, it aims to strengthen governance by improving climate policies and integrating climate goals into national decision-making processes. Second, it addresses better management of water and land resources, reduces climate risks, and supports economic development. Finally, the program promotes low-carbon solutions in energy, transportation, and e-mobility, with a strong emphasis on energy efficiency and sustainable practices. The initiative encourages state-owned enterprises to adopt climate risk disclosure practices and expand renewable energy projects. AIIB Vice President Konstantin Limitovskiy emphasized the importance of the collaboration between AIIB, the Asian Development Bank (ADB), and Uzbekistan. “By integrating climate priorities into economic planning, enhancing adaptation measures, and driving decarbonization in critical sectors like energy and transport, this program plays a key role in supporting Uzbekistan’s efforts to implement its 2030 national strategy and fulfill its Nationally Determined Contribution under the Paris Agreement,” he said. Kanokpan Lao-Araya, the ADB Country Director for Uzbekistan, highlighted that climate change presents a substantial challenge to the country’s long-term economic stability. She emphasized that the Asian Development Bank (ADB) and the Asian Infrastructure Investment Bank (AIIB) are collaborating to support Uzbekistan in achieving resilient, inclusive, and low-carbon economic growth. Uzbekistan’s Ministry of Economy and Finance will lead the program, with support from other government agencies. AIIB and ADB will oversee its implementation to ensure it aligns with Uzbekistan’s broader development goals.

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Afghanistan’s Electricity Restored Following Supply Issues from Uzbekistan and Turkmenistan

The Afghan Power Supply Company, Da Afghanistan Breshna Sherkat (DABS), recently announced disruptions in electricity imports from Uzbekistan and Turkmenistan. This has left many regions in darkness and sparked public dissatisfaction over the lack of a reliable power supply. The interruptions stemmed from technical problems on the Uzbek side and hurricane-related issues in Turkmenistan. Uzbek authorities confirmed that they were working to resolve the issue swiftly. On December 15, DABS confirmed that the technical issues had been resolved and normal electricity supply from both Uzbekistan and Turkmenistan had been fully restored. Afghanistan relies heavily on electricity imports from neighboring countries, particularly Uzbekistan. In 2023, Uzbekistan extended its contract to export electricity to Afghanistan, underscoring the continued energy partnership between the two nations. In earlier discussions, Afghanistan offered Uzbekistan opportunities to invest in its natural resources, including oil, gas, and copper deposits in the provinces of Ghazni and Herat, along with the potential to establish mineral processing plants.

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Harnessing Diplomacy: Qosh Tepa Canal as a Bridge to U.S. Influence in Central Asia

The Center for the National Interest, a Washington, D.C.-based think tank, has released a report titled Afghanistan’s Qosh Tepa Canal and Water Security in Central Asia. The report outlines how U.S. support for the Qosh Tepa Canal project could provide an opportunity for the incoming Trump administration to strengthen its influence in the region. Project Overview Currently under construction in northern Afghanistan, the Qosh Tepa Canal aims to divert water from the Amu Darya River to support agriculture and economic growth. The canal will stretch 287 kilometers, with a depth of 8.5 meters and an average width of 100 meters. Once completed, it will irrigate more than 1.2 million acres of farmland and generate approximately 200,000 jobs in northern Afghanistan. While the Taliban has championed the project as a cornerstone of Afghanistan’s development, the canal poses significant challenges for downstream countries reliant on the Amu Darya, particularly Uzbekistan and Turkmenistan. Concerns include potential water scarcity, environmental degradation, and heightened regional tensions. Implications for Central Asia The report highlights that the canal could exacerbate existing disputes over water allocation in a region already plagued by scarcity. Unlike its Central Asian neighbors, Afghanistan is excluded from water-sharing agreements rooted in the Soviet era. The poorly designed Soviet canals along the Amu Darya continue to undermine water security in the region decades after their construction, a fate experts hope to avoid with Qosh Tepa. Recommendations for U.S. Engagement The report urges the United States to seize this opportunity to engage Afghanistan and the broader region diplomatically and technically: 1. Support for a Well-Engineered Canal The United States should advocate for a well designed canal that prioritizes water-use efficiency. By offering technical assistance and backing the project in principle, the U.S. could pave the way for multilateral development banks, such as the World Bank, the European Bank for Reconstruction and Development, and the Asian Development Bank, to provide financial and technical support. 2. Promote Regional Water Diplomacy Washington should encourage negotiations for a regional water-sharing agreement among Afghanistan, Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan, and Uzbekistan. 3. Assist Downstream States Additional investments in modernizing irrigation systems in Uzbekistan and Turkmenistan could mitigate the canal's impact on downstream water availability. Strategic Context The report underscores the geostrategic importance of Afghanistan and Central Asia, which border three of Washington’s primary global competitors: China, Russia, and Iran. By supporting the Qosh Tepa Canal project and fostering regional water-sharing cooperation, the U.S. could counterbalance the growing influence of Beijing, Moscow, and Tehran in the region. A Watershed Moment As construction progresses into its second phase, involving thousands of workers and heavy machinery, the Qosh Tepa Canal stands at the nexus of development and diplomacy. The report concludes that U.S. involvement in this critical project could serve not only to address Central Asia’s pressing water security challenges but also to reinforce Washington’s strategic position in one of the world’s most complex geopolitical arenas.

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One Billion Points for Planting Trees: Payme Users Helping Green Navoi

By allowing users to donate their accumulated points to good causes, the Payme app, part of the Payme Mahalla, has, since its launch in December 2022, funded projects for schools in Uzbekistan and Karakalpakstan, including the purchase of computers, sports equipment and stationery. Users of the Payme payment service have collected a billion points to support the project to turn Navoi green, a scheme initiated by ecoactivist and blogger Mutabar Khushvaktova (urikguli). Thanks to this action, more than a thousand trees were planted on the territory of Navoiazot JSC in November alone. The project began in October, when Khushvaktova announced a fundraiser for tree planting on her blog. Initially, the collection progressed slowly, but since Payme connected its users through the Mahalla loyalty program, in just a few days the required amount was raised, confirming that thousands of people are willing to support environmental initiatives. The trees were planted under the guidance of biologists and soil scientists. Garden elms, ideally suited to the climatic conditions of the region, were selected for the project. The site for planting was coordinated with the local authorities, with Navoiazot JSC taking care of the trees.