Uzbekistan to Shift Liquefied Gas Supply to Market Principles

Tashkent, Uzbekistan (UzDaily.uz) — Uzbekistan plans to gradually shift household liquefied gas supplies to market-based principles, with a pilot project expected to be launched in Andijan region, Energy Minister Sherzod Khodjaev said in an interview with Uzbekistan 24 television channel.

Under the project, liquefied gas could be sold to households at free-market prices not only by Hududgaztaminot, but also by at least two private businesses. According to the minister, involving the private sector should create a competitive environment and improve the quality of service.

The authorities consider a situation in which consumers and businesses independently refill gas cylinders at vehicle gas filling stations when their gas needs exceed established limits to be one of the problems. They then transport the cylinders in private vehicles. Khodjaev described this practice as illegal, improper and dangerous.

In this regard, authorities are considering establishing points in mahallas where residents could purchase cylinders filled with liquefied gas. Technical requirements for such facilities are also expected to be revised.

A mobile application is planned for consumers. It will allow them to order the required amount of gas and specify a convenient time for home delivery.

Hududgaztaminot currently uses one type of cylinder with a capacity of 20 kg. Private operators are expected to be allowed to sell liquefied gas in cylinders of different capacities without the current restrictions.

Separate changes will also affect importers. Entrepreneurs importing liquefied gas will be allowed to sell the remaining fuel without restrictions through the exchange after supplying the required volume to households.

Khurshed Mustafayev, Deputy Minister of Economy and Finance responsible for the oil and gas sector, said a separate enterprise, LPG-Trade, would be established within the structure of Hududgaztaminot. It will be responsible for supplying liquefied gas to households.

Measures have also been planned to provide material support to Hududgaztaminot to ensure stable operations during the autumn-winter period. At the same time, certain exchange-related benefits currently available to liquefied gas importers under existing legislation are expected to be abolished.

According to Mustafayev, the package of measures is intended to ensure uninterrupted liquefied gas supplies to households during the autumn-winter period.

Currently, around 3.8 million consumers and nearly 2,000 social-sector facilities receive liquefied gas. A total of 604,800 tonnes of fuel has been allocated for their needs in 2026.

At the same time, 22% of consumers receive liquefied gas at intervals of more than 46 days. Due to delays, some families are forced to purchase gas at vehicle gas filling stations at market prices. As a result, expenses for such consumers can be several times higher than the regulated price, it was noted at a meeting with the president.