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A decision to end Uzbekistan's price caps on coal has been made against the background of rising costs for electricity. To date, hard coal in the country is a social commodity, which is sold to the population at fixed prices. Currently, coal is sold under direct contracts to the population, state organizations and thermal power plants, and because it's included in the list of socially important goods, its price is regulated by the state. Wholesale and retail prices for coal are considered and approved by the Interdepartmental Commission on Tariffs at least once a year (valid through June 1). Retail coal is sold to the population through coal warehouses run by the state company "Kumir ta'minot". The Ministry of Energy, together with other agencies, has a mandate to make proposals for the formulation of wholesale and retail prices "based on market principles" within a month. In 2023 Uzbekistan's coal production rose to 6.19 million tons, up 15.5% from the previous year. However, imports also increased -- 3.1 million tons were purchased from Kazakhstan alone. At the beginning of this year, Uzbek president Shavkat Mirziyoyev instructed domestic mining companies to increase coal production by 22%, taking into account the needs of the population, social sphere and industries. According to experts, the potential of the coal industry is not being properly utilized. At the same time, coal combustion is the main air pollutant in Uzbekistan, especially in Tashkent, which has recently taken a leading position on the list of cities with the worst air quality. During the fall and winter period, greenhouses on the outskirts and industrial enterprises of the Uzbek capital massively use coal and fuel oil as heating and power generation fuel. This has led to a sharp deterioration of air quality indicators and an increase in respiratory diseases among citizens.
On April 17, the Minister of Energy of Kazakhstan Almasadam Satkaliev and the Minister of Energy of the Russian Federation Nikolay Shulginov signed an agreement on the construction of coal-fired thermal power plants in the Kazakh cities of Kokshetau, Semey, and Ust-Kamenogorsk. In welcoming the joint initiative, Minister Satkaliev stated that the construction of new thermal power plants will give powerful impetus to the future exploitation of the three regions' extensive coal reserves. With plans already in place, the construction of the first thermal power plant is scheduled to begin later this year.
Last year Kazakhstan produced 112.7m tons of coal, 1.1% less than in 2022. The country’s energy-generating facilities used 65.9m tons and 31.9m tons were sent for export, according to data released by the National Bureau of Statistics. Kazakhstan ranks among the world’s ten leading countries in terms of coal reserves, with 49 deposits containing 33.6bn tons of coal. Today the coal industry provides fuel for about 70% of Kazakhstan’s electricity generation. About 30 companies are currently engaged in coal mining in the country, providing jobs for almost 32,000 people. Large coal deposits are located mainly in Central Kazakhstan (Karaganda coal basin, Shubarkol deposit, Turgai brown coal basin) and the northeastern region (Ekibastuz and Maikuben coal basins and Karazhyra deposit). The Ministry of Industry and Construction earlier announced Kazakhstan’s plan to increase the production of coal in the period 2023-2029. The National Bureau of Statistics reported that exports of hard coal and lignite have increased 6.5-fold, mainly due to the growing demand for Kazakh coal from the countries of the European Union, which has placed an embargo on Russian coal exports to European countries since August 2022.
Kazakhstan will increase its production of coal in the period 2023-2029, the Kazakh Ministry of Industry and Construction has said, adding that the country exports around 28% of the total volume of coal it mines. In order to meet the demands of energy-producing and industrial enterprises, the ministry says it is working to increase coal production, as well as the country’s coal export potential. According to the National Bureau of Statistics of Kazakhstan, exports of hard coal and lignite have increased 6.5-fold, mainly due to the growing demand for Kazakh coal from the countries of the European Union. The embargo on Russian coal exports to European countries, introduced in the EU from August 2022, has created a good opportunity for Kazakhstan to significantly increase its coal exports to Europe.
ASTANA (TCA) — The Eurasian Development Bank (EDB) and Kazakhstan's largest coal producer Bogatyr Komir have signed a loan agreement to finance Bogatyr Komir’s investment program aimed at modernizing coal production processes at the Bogatyr mine. The EDB will extend a loan facility of EUR 196.6 million for eleven years, the Bank said. Continue reading
BISHKEK (TCA) — Air pollution has become one of the most discussed topics in Bishkek. A shroud of smog over Kyrgyzstan’s capital has become stronger in recent years, and it is clearly visible when looking at the city from above, even from villages located to the south Bishkek, at the foot of the mountains. Continue reading
