US$3.2 Million Grant Agreement Signed in Tashkent to Establish Regional Electricity Market in Central Asia

Tashkent, Uzbekistan (UzDaily.com) — A grant agreement worth US$3.2 million has been signed in Tashkent between the Central Asia Water and Energy Program (CAWEP), administered by the World Bank, and the Coordinating Dispatch Center Energia.

The funds will be directed toward supporting the initial steps in establishing a regional electricity market in Central Asia.

The Regional Energy Market Integration and Trade program (REMIT), approved by the World Bank in January 2026, provides for financing of over one billion US dollars and runs through 2035. It is aimed at strengthening energy interconnectivity across the region, creating Central Asia's first regional electricity market, increasing cross-border trade volumes, expanding transmission line capacity, and integrating renewable energy sources.

The grant signing ceremony in Tashkent was attended by representatives of CDC Energia, the World Bank, the Delegation of the European Union, and the embassies of the United Kingdom and Switzerland. World Bank Regional Director for Central Asia Najy Benhassine and CDC Energia Director General Hamidulla Shamsiev formally confirmed the grant award.

The funds will be used for activities led by CDC Energia, including the development and launch of a pilot regional electricity market, the establishment of a regional market operator function, and the strengthening of interstate coordination mechanisms to expand cooperation in electricity generation and transmission.

CAWEP is a partnership of the World Bank, the European Union, Switzerland, and the United Kingdom, focused on enhancing water and energy security across the region in the face of a changing climate.