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Economy 31/01/2025 ASR and BCG discuss Uzbekistan’s energy development plan until 2035

ASR and BCG discuss Uzbekistan’s energy development plan until 2035

Tashkent, Uzbekistan (UzDaily.com) —  A meeting was held at the Agency for Strategic Reforms with representatives from the international consulting firm Boston Consulting Group (BCG). The meeting was attended by the First Deputy Director of the Agency, Abdulla Abdukadirov, and BCG experts Igor Alekseev, Vasily Guryev, and Igor Kopytov.

The meeting focused on the development of a Master Plan for Uzbekistan’s energy sector until 2035. The plan includes a detailed analysis of energy demand, production, and consumption in the long term and covers key aspects of the energy transition, such as projected electricity and natural gas needs, the distribution of generation capacities, and the development of renewable energy sources.

The Agency for Strategic Reforms highlighted several key aspects to be considered in the finalization of the Master Plan. One of these is the need to account for the population’s natural gas consumption, particularly among self-employed citizens who rely on methane and propane as their main source of income. The importance of supporting small and medium-sized businesses in accessing affordable and economically viable energy sources was also emphasized.

A special focus was placed on improving energy efficiency, which should be a priority. Initially, energy efficiency improvements should target large consumers, reducing production costs and relieving pressure on the energy system. Additionally, energy-efficient technologies should be introduced in manufacturing sectors to enhance business competitiveness and reduce overall energy costs across the economy.

One of the central topics discussed was ensuring stable gas supply to social institutions such as schools, hospitals, and other government-funded facilities. Maintaining the current level of energy supply to these institutions will help prevent an increase in budgetary pressure and avoid additional costs for the population.

The discussion also touched upon avoiding a growth in coal-based generation and a sharp reduction in gas consumption at existing combined heat and power plants (CHPPs) during the energy transition. It was proposed to reconsider the mechanisms for redistributing gas capacities so that existing CHPPs can effectively serve as supporting generators.

Additionally, the meeting addressed issues related to liquefied gas and the development of a mechanism for its distribution and management for the population. The participants explored the possibility of involving the private sector and outsourcing companies in the process of liquefied gas distribution, which would improve efficiency, enhance service quality, and ensure the stability of supply.

At the end of the meeting, the parties agreed that BCG would revise the Master Plan based on the suggestions and recommendations provided. The development of this document will be a crucial step in creating a sustainable and balanced energy system in Uzbekistan, fostering economic growth, energy independence, and environmental security in the country.

 

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