Major Industrial and Energy Projects for Uzbekistan

On April 8th, Uzbekistan President Shavkat Mirziyoyev attended a launch ceremony for the construction of two major industry and energy projects in the Jizzakh region. The first, in the Gallyaaral district, comprises an industrial zone specializing in metallurgy. Encompassing a customs warehouse and 7 projects worth $500 million, the new zone will manufacture various fittings, steel balls, pipes, automobile bodies, and provide 5,000 jobs. The second project to be established in the Farish district in collaboration with China Poly Group and China Electric, is a large 500-megawatt solar power plant. With investment of $350 million, the plant will generate 1.1 billion kilowatt-hours of electricity per annum and improve the supply of energy to 450,000 households. The first 200 megawatts will be put into operation later this year. It was announced at the ceremony that in the coming years, additional thermal, wind and solar power plants with a total capacity of 1,660 megawatts will be built in the Jizzakh region. The new facilities will improve the standard of living of the local population and provide a new impetus to the region’s economic development.

Kazakhstan to Build New Power Generation Facilities

To ensure Kazakhstan’s energy security and increase its export potential, the Ministry of Energy has adopted a development plan for the country’s electrical power industry. On March 5th, the Minister of Energy, Almasadam Satkaliev reported that under the new plan, scheduled to run until 2035, existing power generating facilities are to be modernized alongside the commission of new facilities with a total capacity of 26 GW. In the southern regions of Kazakhstan, gas, and steam generation projects with an installed capacity of about 2.3 GW are due for completion in 2025-2026. The projects comprise combined cycle gas turbines in Turkestan and Kyzylorda with a capacity of 926.5 MW and 240 MW, as well as combined cycle power generation units at two heating plants in Almaty with a capacity of 544 MW and 557 MW. Another combined cycle power plant with a capacity of 1.1 GW will be constructed in the Kyzylorda region. The plans also include new gas and coal-fired power generation projects in Kazakhstan with a total capacity of 6.7 GW and the conclusion of an agreement with Russia for the construction of coal-fired thermal power plants in the cities of Kokshetau, Semey, and Ust-Kamenogorsk. To achieve a 15% share of electricity generation by renewable energy sources by 2030, annual auctions will be held for a total capacity of over 6 GW (1,270 MW in 2024). Renewable energy projects with a total capacity of 3 GW are currently progressing in collaboration with Total Energies (France), Acwa Power (Saudi Arabia), and Masdar (UAE). Eleven renewable energy facilities with a total capacity of 259 MW are to be commissioned this year. Last month, Energy Minister Satkaliev reported that in 2023, Kazakhstan consumed 115 billion kWh of electrical energy, compared with 112.9 billion kWh in 2022, and produced 112.8 billion kWh, the same amount as in 2022. Last year Kazakhstan imported 3.4 billion kWh, and exported 1.4 billion kWh. In 2024, the country plans to generate 115 billion kWh. Last year, the volume of electricity generated by renewable energy facilities amounted to 6.675 billion kWh, including 3.8 billion kWh from wind power plants, 1.8 billion kWh from solar plants, and 993.8 million kWh from hydropower plants. The generation of electricity from renewable sources in 2023 thus amounted to just 5.9% of the country’s total. Looking to a greener future, Kazakhstan’s new goal is to achieve a 15% share of renewable energy sources in power generation by 2030, and a 50% share by 2050.