As part of the “Innovative Application of Carbon Resources for Energy Transition – iCRAFT” project, the World Bank plans to allocate .2 million to Uzbekistan in 2024. This project aims to reduce greenhouse gas emissions through tariff reforms in the energy sector and establish trade in reduced greenhouse gas emissions.
In addition, as part of the “Assistance and Policy Advice to the Private Sector in Uzbekistan” project, implemented jointly with the German Society for International Cooperation (GIZ), €12.0 million is allocated to the Uzbek government to implement green industrialization projects.
Thus, international partnerships and investments play a decisive role in Uzbekistan's transition to a green economy. The total inflow of investments and financing from international organizations allows the country not only to adapt to the challenges of climate change but also to create a sustainable economy capable of supporting social development and improving the quality of life of its citizens.
Results to Date, Plans, and Prospects
To date, Uzbekistan has achieved certain successes in the transition to a green economy.
In particular, to develop and stimulate the use of renewable energy sources in the Uzbek energy system, a system of “green energy certificates” has been introduced. This system allows renewable energy producers to sell “green certificates” to end consumers, which confirms the “cleanliness” of energy and contributes to increased sales and exports, as well as attracting green investments and loans from international financial organizations.
In addition, temporary regulations on the procedure for implementing projects for organizing international trade in greenhouse gases were approved, which will allow Uzbekistan to participate more actively in global initiatives to reduce carbon emissions. This regulation creates a legal framework for trading in reduced greenhouse gas emissions, contributing to attracting investments in green projects and improving the environmental situation in the country. It is also aimed at increasing transparency and efficiency in managing greenhouse gas trade, which will allow Uzbekistan to fulfill its international obligations in the field of climate policy.
At the same time, our country pays special attention to increasing sources of renewable energy: in recent years, 9 solar and wind power plants with a total capacity of 1.6 gigawatts have been connected to the network in Bukhara, Jizzakh, Kashkadarya, Navoi, Samarkand, and Surkhandarya. 6 hydroelectric power plants with a total capacity of 183 megawatts were launched in Andijan, Samarkand, Surkhandarya, and Tashkent region.
In addition, based on the nationally determined contributions (NDCs) submitted to the UN Framework Convention on Climate Change in accordance with the obligations undertaken by Uzbekistan under the Paris Agreement, the development and submission of a new version of the NDCs of Uzbekistan to the UN Framework Convention on Climate Change is planned for 2025. All participants of the Paris Agreement are obliged to draw up this document and update it every five years.
Also it is planned to launch an online platform of the national transparency system (RISQ) in cooperation with the French Development Agency and the French organization “CITEPA” and integrate it into the online platform of the «Green» Economy.
However, Uzbekistan faces serious challenges. Further modernization of the energy infrastructure, development of «green» technologies, and transformation of legislative initiatives to increase their effectiveness are necessary. It is also important to deepen the implementation of environmental standards and ensure compliance with norms.
In the coming years, it is planned to continue the development of the green economy through the implementation of new projects and programs. One of the key tasks will be to strengthen cooperation with international partners and attract additional investments, as well as improve environmental infrastructure and introduce modern technologies.
The transition to a «green» economy in Uzbekistan represents a complex yet crucial step towards sustainable development. Government initiatives, strategic plans, international cooperation, and investments play pivotal roles in realizing this goal. Despite significant progress, challenges such as infrastructure modernization, technological advancement, and legislative refinement persist.
To ensure a successful green transition, Uzbekistan must continue to strengthen international partnerships, attract sustainable investments, and implement innovative solutions. By doing so, the country can not only improve its environmental footprint but also stimulate economic growth and enhance the quality of life for its citizens.
Javlon Khakimov,
Rakhat Nurjanov,
Department of «Green» Economy Development
Ministry of Economics and Finance
