Attracting Private Investors for Regional Power Grid Modernization Becomes a Priority

Tashkent, Uzbekistan (UzDaily.com) — President Shavkat Mirziyoyev has approved a new package of measures aimed at improving the operations of state-owned enterprises and attracting private investors to infrastructure management, according to official sources.

The document, published on 25 February, outlines structural changes in the energy and transport sectors and foresees the expansion of public-private partnership (PPP) practices at the regional level.

Under Resolution PP-74, the joint-stock company “Thermal Power Plants” will receive 100% of the charter capital of the Takhiatash Thermal Power Station from the State Asset Management Agency. This facility had previously been under the trust management of Smart Integrity Me.

By 1 April, the Ministry of Economic Development and Finance plans to acquire a 60% stake in the company “Temiryul Infratuzilma,” formerly owned by “Uzbekistan Railways,” as well as shares in “Uzbekinvest” and “Uzsuvta’minot.”

The head of state has approved the creation of new companies to operate electricity transmission and distribution systems, as well as railway transport infrastructure, with a mandatory state share of at least 51%.

The Ministry of Finance, the State Asset Agency, and relevant ministries have been instructed to draft amendments to the laws “On Privatization of State Property,” “On Electric Power Industry,” and “On Railway Transport,” to be submitted to the Cabinet by 1 April.

Special attention is being given to regional PPP initiatives. In two regions, private partners will be invited to operate local electricity networks, leveraging the experience of similar projects in Samarkand Region. At the same time, analogous initiatives in other regions will be temporarily suspended for two years.

Notably, the practice of transferring distribution networks and gas pipelines to private management in Samarkand Region was formalized by a presidential decree in August 2024 as part of the PPP Development Program through 2030.

The concession project competition began in October 2024 with the participation of the International Finance Corporation, part of the World Bank Group. Private partners are expected to invest in network modernization, improve efficiency, reduce transmission losses, enhance service quality, and implement innovative technologies.

Planned upgrades include modernizing 6–10 kV lines to 35 kV, expanding and maintaining street lighting systems, increasing operational efficiency, and adopting advanced technological solutions.

During a presidential meeting in November 2024, it was noted that attracting investors to manage Samarkand Region’s electricity networks could mobilize around USD 4 billion for infrastructure modernization. Similar projects were scheduled for Jizzakh and Syrdarya Regions in 2025.

In November 2025, the Samarkand electricity networks were officially transferred to the Turkish company Aksa Enerji.

Alvar Gaybullaev, Deputy Head of “Regional Electric Networks,” presented a certificate to investor representatives at a roundtable dedicated to developing PPPs in Uzbekistan’s energy sector.