Central Asian nations, especially Kazakhstan and Uzbekistan, are seeking to develop closer ties with the oil-rich United Arab Emirates. What they need from the Gulf state is not fossil fuels, but renewable energy technology and investment in their green energy sectors.
Despite being a significant oil-exporter, the UAE has managed in recent years to position itself as a regional leader in solar energy and photovoltaic solar projects. As a result, it now has global aspirations in the renewable energy industry. The Gulf country, through its semi-government-owned company, Masdar, has already invested billions of dollars in the construction of wind farms and solar plants all over the world – from the Bahamas and Barbados to Australia, as well as several African and European nations. Central Asia is no exception.
In the region, the green energy giant is particularly active in Uzbekistan and Kazakhstan. It is, therefore, no surprise that, on January 14, two regional leaders, Shavkat Mirziyoyev and Kassym-Jomart Tokayev, were major guests at the Abu Dhabi Sustainability Week, a global platform focused on accelerating sustainability efforts.
President Tokayev of Kazakhstan speaking at the Abu Dhabi Sustainability Week; image: TCA, Nikola Mikovic
Their visit to the UAE signals a strong push for a green energy transition at home. For Tashkent and Astana, cooperation with Abu Dhabi in the field of green energy can help them to achieve their ambitious goals and reduce reliance on fossil fuels, despite both being significant producers of natural gas and oil.
“Together with our foreign partners, we are currently implementing more than 50 large energy projects worth a total of $26 billion,” Mirziyoyev stressed, pointing out that by 2030, the share of renewable energy sources in the country will reach 54%.
President of Uzbekistan, Shavkat Mirziyoyev backstage at the Abu Dhabi Sustainability Week; image: TCA, Nikola Mikovic
In his view, Central Asia should turn into a “center of green economy.” The Director-General of the International Renewable Energy Agency (IRENA), Francesco La Camera, seems to share this stance.
“Central Asia can play a stronger and leading role in the global energy transition. I’m confident this new partnership can accelerate the pipeline of renewable energy projects and drive green industrialization,” La Camera said at the 15th session of the IRENA Assembly, held in the UAE capital two days prior to the meetings Mirziyoyev and Tokayev had with the UAE’s leaders.
According to the Uzbek President, Tashkent is interested in jointly realizing the potential of Central Asia in solar, wind, and hydro energy, as well as in developing the production of green hydrogen. Fully aware of the Central Asian state’s green energy potential, Masdar is committed to investing $2 billion in Tashkent’s clean energy projects with a total capacity of more than two gigawatts. In the most populated Central Asian nation, the UAE’s semi-state-owned company is already involved in the construction of both solar plants and wind farms.
Abdulaziz Alobaidli, Masdar’s Chief Operating Officer, at the Abu Dhabi Sustainability Week; image: TCA, Nikola Mikovic
“We were the first foreign investor in Uzbekistan’s renewable energy market in 2019. It is amazing to see how much progress the country has made over the past five years,” Abdulaziz Alobaidli, Masadar’s Chief Operating Officer told The Times of Central Asia.
In his view, clear regulations are now in place in Uzbekistan, and the government is demonstrating its serious commitment to developing the green energy sector. In neighboring Kazakhstan, the authorities are also aiming to strengthen the green economy and play an important role in ensuring the availability of crucial raw materials globally.
“Kazakhstan seeks to secure a diversified supply of critical raw materials for world markets, as they are indispensable to achieving the world’s net zero targets,” Tokayev stressed in Abu Dhabi, pointing out that it is imperative for Astana’s international partners, including Masdar, to invest in green energy projects.
Maryam Al Mazrouei, Masdar’s Head of Business Development in charge of the CIS at the Abu Dhabi Sustainability Week; image: TCA, Nikoa Mikovic
Indeed, at the COP29 summit held in the Azerbaijani capital Baku in November 2024, the UAE’s green energy corporation and the Kazakh authorities signed a $1.4 billion deal on the construction of a 1GW wind farm in the largest Central Asian nation. When completed, the facility is expected to provide green electricity to approximately 300,000 homes in the south of the country.
Prior to the green energy summit in Abu Dhabi, Kazakhstan’s Energy Ministry’s officials participated in the IRENA Assembly, which suggests that Astana is serious in its ambitions to generate 15% of its total energy from renewable sources by 2030. The United Arab Emirates is undoubtedly willing to help Kazakhstan achieve its goals.
“The county has a huge potential for the development of both solar and energy sectors,” Maryam Al Mazrouei, Masdar’s Head of Business Development in charge of the Commonwealth of Independent States told The Times of Central Asia.
As she explains, the company is currently focused on the implementation of the 1 GW wind farm project in Kazakhstan’s Zhambyl Region, while in the future it might engage in the construction of solar photovoltaic plants in the former Soviet republic. But that’s not the end of Masdar’s ambitions in the region.
“We are at the very early stage of development of green energy projects in Kyrgyzstan and Tajikistan. We are discussing with their governments the possible construction of two 200-megawatt solar plants,” Al Mazrouei said, whilst emphasizing that no agreements have been signed yet.
The problem, however, is that, unlike Uzbekistan and Kazakhstan, the three remaining Central Asian states – Turkmenistan, Kyrgyzstan and Tajikistan – have yet to establish the necessary framework and regulations to attract foreign corporations willing to invest in the development in their vast green energy potential. In the meantime, they could learn from the experiences of Astana and Tashkent.
