Hydropower - The Times Of Central Asia

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Investments

Turkish Holding to Invest $10 Billion in Kyrgyz Hydropower Projects

Turkish conglomerate Ihlas Holding plans to invest $10 billion in the construction of two major hydroelectric power plants in Kyrgyzstan, the 912 MW Kazarmanskaya plant and the 1,305 MW Kokomeren plant, according to the Kyrgyz Ministry of Energy. In Bishkek, Energy Minister Taalaibek Ibraev signed a final investment agreement with Central Asian Investment Holding, a subsidiary of Ihlas Holding, for a cascade of hydropower facilities on the Naryn and Kokomeren rivers. The total planned capacity is 2,217 MW. In addition to building the plants and associated infrastructure, the project will include training engineers to operate the new facilities and supplying the Ministry of Energy with specialized equipment. Under the agreement, the investor will provide $5 million in sponsorship funding annually from 2025 to 2030. The funds will support orphaned children and social programs in the regions where the hydropower plants will be built. According to Turkish media, the deal grants Ihlas Holding a 20-year operational right over the stations, with the Kyrgyz government guaranteeing to purchase the electricity produced in foreign currency. Ahmet Mujahid Eren, Chairman of Ihlas Holding’s Board of Directors, said Turkey faced similar energy challenges in the 1990s. “At that time, losses exceeded 50 percent. After privatizing distribution networks and modernizing infrastructure, we reduced this figure to a minimum. We want to apply this experience to create not only new energy capacity, but also modern, exemplary infrastructure,” he said.

Hydropower

Modernization of Kyrgyzstan’s Largest Hydropower Plant Nears Completion

Kyrgyzstan is nearing a major milestone in its energy sector with the impending completion of modernization work at the Toktogul Hydropower Plant (HPP), the country’s largest energy facility, which generates approximately 40% of its electricity. According to the Ministry of Energy, the country consumed 10 billion kilowatt-hours (kWh) of electricity in the first half of 2025, of which 2.05 billion kWh were imported. Domestic production during this period included 6.616 billion kWh from large hydroelectric plants, 1.132 billion kWh from thermal power plants, 219.7 million kWh from small HPPs, and 0.141 million kWh from the nation’s only solar power plant. To reduce dependence on imports and address recurring power shortages, the government is prioritizing both the construction of new and the modernization of existing hydropower facilities. On July 15, a major milestone was reached at Toktogul HPP with the installation of a new rotor for hydroelectric unit No. 3, the last of the plant’s four turbines to undergo a full overhaul under a multi-year modernization project. The rotor, weighing 768 tons, is the heaviest component of the unit and was installed using two 400-ton cranes. A similar operation was last carried out nearly five decades ago, during the plant’s initial construction. Three of the four turbines have already been upgraded. Upon completion of work on unit No. 3 in November 2025, Toktogul’s total installed capacity will rise by 240 megawatts (MW), reaching 1,440 MW. This upgrade will enable the plant to generate an additional 525.3 million kWh of electricity annually. Alongside the Toktogul modernization, Kyrgyzstan is also advancing its small-scale hydropower capacity. By the end of 2025, 18 small hydropower plants with a combined capacity of 78.57 MW are expected to be completed. Two plants, with a total capacity of 10.29 MW, are already in test operation. Although the country’s only solar power plant currently produces 1.43 MW, this is set to change. Kyrgyzstan has launched construction of two major renewable energy projects in 2025: a 300 MW solar power plant and a 100 MW wind farm, marking a significant step toward diversifying the national energy mix and enhancing long-term energy security.

Energy

Tajikistan’s Energy Paradox

Tajikistan stands out among developing countries for having achieved near-universal access to electricity by 2022. This milestone, documented in the international SDG7-2025 report by the UN, World Bank, WHO, IEA, and IRENA, places the country alongside Eastern European and South Caucasus states in electrification. However, beneath this achievement lie persistent vulnerabilities, particularly in rural and mountainous regions, where winter brings regular power outages due to seasonal dips in hydropower generation and surging demand. Firewood and Coal Still Dominant Despite near-total electrification, Tajikistan remains significantly behind in access to clean cooking fuels. Fewer than 40% of the population use modern, safe technologies. In villages, the majority of households still rely on coal, firewood, or even manure for heating and cooking, practices that pose serious environmental and health risks, especially for women and children. Tajikistan’s power sector is heavily dependent on hydropower, which accounts for over 90% of electricity production. While this results in low CO₂ emissions, it also creates structural vulnerabilities. Climate change and glacial retreat threaten the reliability of this single energy source. Meanwhile, the potential of solar and wind energy remains largely untapped due to a lack of investment, insufficient institutional frameworks, and limited support for decentralized energy projects. Lagging in Energy Efficiency Tajikistan is one of the most energy-intensive countries in the region. Aging heating systems, poorly insulated buildings, and inefficient technologies in agriculture and industry all contribute to this inefficiency. The SDG7 report emphasizes the need to upgrade buildings and adopt energy-saving technologies. Some progress has been made: with assistance from the European Bank for Reconstruction and Development (EBRD), thermal upgrades are underway in schools and hospitals. In 2021, Tajikistan received approximately $100 million in international support for energy projects, most of it allocated to hydropower. Major donors include the World Bank, the Asian Development Bank (ADB), and various UN agencies. However, investment in solar and wind energy, as well as broader energy efficiency initiatives, remains negligible. Experts are urging international partners to revise their priorities and fund projects that directly improve living standards, particularly in remote and rural areas. A Regional Disparity in Investment The pace of energy transition varies across Central Asia. While electrification is largely complete, access to clean cooking fuels remains uneven. Tajikistan and Kyrgyzstan are notably behind in this area. In contrast, Uzbekistan has emerged as a regional leader, securing the bulk of international energy investment. Uzbekistan, on the contrary, entered the top five world leaders in attracting investments in green energy. Globally, progress toward Sustainable Development Goal 7 (SDG 7) is slowing. As of 2022, 91% of the world’s population had access to electricity, but over two billion people still rely on harmful fuels for cooking. Energy efficiency improvements are lagging, advancing at just one-quarter of the pace needed to meet 2030 targets. Charting a Path Forward Experts recommend three immediate priorities for Tajikistan. First, scaling up decentralized solar and wind energy projects. Second, investing in the energy efficiency of buildings and infrastructure. Third, expanding access to clean cooking fuels through...

Water crisis

Tajikistan and Central Asia Face Escalating Water Crisis

Central Asia is emerging as one of the regions most vulnerable to drought, according to the latest Global Drought Outlook published by the United Nations. A Region Under Climate Pressure The report highlights a persistent rise in average annual temperatures, diminishing snow cover, and accelerated glacier retreat, particularly in the mountainous regions of Tajikistan and Kyrgyzstan, as key drivers of water insecurity. “Climate change is accelerating glacier retreat... This poses a long-term threat to the region's water security,” the report states. Tajikistan, which holds over 60% of Central Asia’s glaciers, plays a critical role in the region’s hydrology. Agriculture on the Brink The first sector to suffer from prolonged drought is agriculture, which underpins food security across Tajikistan, Uzbekistan, and Turkmenistan. Most agriculture in these countries relies on outdated irrigation systems ill-equipped to handle evolving climate conditions. According to the Food and Agriculture Organization (FAO), the global incidence of droughts rose by 29% between 2000 and 2023. In Central Asia, this trend has resulted in declining crop yields, income losses, and forced livestock sales. In Tajikistan’s Khatlon and Sogd regions, farmers experience income drops of 15-30% during dry years. Despite generating more than 60% of the region's freshwater through glaciers and high-altitude rivers, Tajikistan struggles with its own water shortages. Nearly 60% of water is lost due to leakage in dilapidated canals, compounded by inefficient water management. Rural communities are particularly affected, with thousands of families lacking regular access to clean water. Hydropower and Economic Risks Tajikistan relies on hydropower for over 90% of its electricity. However, inconsistent snowfall and prolonged summer droughts have drastically lowered reservoir levels, threatening national energy stability. More than half of the country’s 14,000 kilometers of irrigation canals require modernization. From 2000 to 2016, drought-related economic losses in Central Asia exceeded $2 billion. In 2023 alone, Tajikistan incurred $5.4 million in damages due to power shortages. Droughts are also impacting public health, employment, and migration. Natural disasters annually affect around 1.4 million people in Uzbekistan and 500,000 in Kazakhstan and Tajikistan. By 2050, drought-related losses are expected to reach 1.3% of regional GDP annually, with up to five million climate migrants projected. Regional and Global Responses Tajikistan, a signatory to the UN Convention to Combat Desertification, is pursuing land restoration and sustainable water management projects. Under the ISCAUZR-2 initiative (Central Asian Initiative on Sustainable Land Management), the country secured nearly $1.5 million to support sustainable agricultural practices. Efforts include the development of fruit tree nurseries, installation of drip irrigation systems, construction of freshwater reservoirs, and deployment of monitoring sensors at water sources. Agroforestry techniques and drought-resistant crop varieties are also being introduced. Despite these initiatives, the region continues to face rising temperatures, Asia has already surpassed a +1.04°C increase and Tajikistan has lost more than 1,000 glaciers. An estimated 10 million people across Central Asia lack sustainable access to safe drinking water. Natural phenomena increasingly compound one another: droughts cause dust storms, which in turn accelerate glacier melt. The UN report warns that without systemic...

Hydropower

Dubai Hosts Talks on Major Central Asian Hydropower Project

On May 26-27, 2025, energy ministers from Kazakhstan, Kyrgyzstan, and Uzbekistan met in Dubai, United Arab Emirates, for the second high-level meeting on the Kambarata-1 Hydropower Plant (HPP) project. The meeting was organized with the support of the World Bank, according to Kyrgyzstan’s Ministry of Energy. Kambarata-1 is a flagship regional initiative designed to enhance energy security and water management across Central Asia. The planned hydropower facility, with a capacity of 1,860 megawatts, will be constructed on the Naryn River in Kyrgyzstan. The delegations were led by Energy Ministers Yerlan Akkenzhenov (Kazakhstan), Taalaibek Ibraev (Kyrgyzstan), and Jurabek Mirzamakhmudov (Uzbekistan). High-level representatives from the finance and water ministries of the three countries also participated. During the meeting, the ministers formally requested technical assistance from the World Bank. This includes an updated feasibility study, environmental and social impact assessments, and the development of a robust financial and commercial implementation model. The World Bank delegation featured several senior officials, including Tatiana Proskuryakova, Regional Director for Central Asia; Carolina Sánchez-Páramo, Director for Strategy and Operations in Europe and Central Asia (ECA); Charles Joseph Cormier, Regional Infrastructure Director for ECA; and Stephanie Gil, Program Leader for Energy. “We are pleased to support the governments of Kazakhstan, Kyrgyzstan, and Uzbekistan in advancing the Kambarata-1 project,” said Proskuryakova. “It will bring major economic and social benefits to the region.” The ministers reiterated their commitment to the project, describing it as a cornerstone of regional energy integration. Participants reviewed progress since the first roundtable in Tashkent in January 2025. Discussions focused on revised cost estimates, grid modernization needs, financing strategies, and the importance of strong environmental and social safeguards. Kazakhstan’s Yerlan Akkenzhenov highlighted the collaborative nature of the initiative: “Kazakhstan fully supports this project and will continue working closely with its regional partners.” Kyrgyzstan’s Taalaibek Ibraev underscored the national significance of the HPP: “This project is the foundation of Kyrgyzstan’s energy strategy. We are proud to implement it in partnership with Kazakhstan and Uzbekistan.” Uzbekistan’s Jurabek Mirzamakhmudov referenced the tangible progress already made: “With joint efforts and international backing, we are confident in our ability to realize this project according to global standards.” The ministers agreed on specific next steps and timelines for project preparation and pledged to hold regular meetings to ensure steady progress. As previously reported by The Times of Central Asia, the Kambarata-1 HPP will be located in the upper reaches of the Naryn River in Kyrgyzstan. Once completed, it is expected to generate approximately 5.6 billion kilowatt-hours of electricity annually. The estimated construction cost exceeds $4 billion.

Hydropower

Turkish Company to Build Hydropower Plants in Kyrgyzstan and New Heat and Power Plant for Bishkek

Kyrgyzstan’s Ministry of Energy and Turkish open joint-stock company Orta Asya Investment Holding signed a protocol of intent on February 27 to construct the Kazarman cascade of hydroelectric power plants (HPP) on the Naryn River, with a total capacity of 912 MW. New Hydropower Projects According to the Ministry of Energy, the agreement includes preparations for an investment agreement and a feasibility study for the project. Orta Asya Investment Holding has expressed interest in constructing three hydropower plants in the cascade: Ala-Buga HPP - 600 MW Kara-Bulun-1 HPP - 149 MW Kara-Bulun-2 HPP = 163 MW Together, these HPPs will generate 3.746 billion kWh of electricity annually, significantly contributing to Kyrgyzstan’s growing energy demands. New Heat and Power Plant for Bishkek On the same day, the Ministry of Energy and Orta Asya Investment Holding discussed the construction of a 250 MW natural gas-fired combined heat and power plant (CHPP-2) in Bishkek. The project is estimated to take 2 - 4 years, with a budget of $443 million. Orta Asya Investment Holding has committed to investing approximately 3 billion KGS (about $34 million) in the project. The Ministry and the company have agreed to finalize a feasibility study for Bishkek CHPP-2 within three months and then begin implementation. Once completed, CHPP-2 will: Increase the country’s energy capacity. Ensure stable electricity and heat supply for residents and businesses. Improve Bishkek’s environmental situation by using natural gas, a cleaner energy source. CHPP-2 will be Bishkek’s second power plant, reducing reliance on the city’s aging Thermal Power Plant (TPP). Power Shortage in Bishkek Bishkek, home to over one million residents, currently relies on a single power plant for both electricity and heating. The Bishkek TPP produces approximately 13% of Kyrgyzstan’s total electricity output, with the remainder coming from hydropower plants. The TPP also provides heat and hot water to nearly two-thirds of the capital. However, the aging plant has suffered two major accidents in recent years: January 2018 - A breakdown left the city without heating for three days in freezing temperatures. February 2, 2024 - An explosion seriously injured three people and forced authorities to impose hot water and heating restrictions in some parts of the city. Following the 2024 accident, the government prohibited newly built high-rise residential buildings from connecting to the existing TPP heating system. Once completed, Bishkek CHPP-2 is expected to meet the city’s growing heating needs and reduce the risk of energy shortages.