Tasks for transformation of electric power industry enterprises defined

26.10.2020 14:27
President Shavkat Mirziyoyev has held a meeting on priority tasks of transformation of electric power enterprises.


The starting point for systemic changes in this area was the Decree of the Head of the state “On measures to radically improve the management system of fuel and energy industry of the Republic of Uzbekistan” of February 1, 2019. In accordance with the document, the Ministry of Energy was established with the division of administrative and commercial functions of managing the industry.
Along with this, according to the resolution of the President “On the strategy for further development and reforming the electric power industry of the Republic of Uzbekistan” of March 27, 2019, three separate companies were created on the basis of former Uzbekenergo JSC – Thermal Power Stations, National Electric Networks of Uzbekistan and Regional Electric Networks JSCs.
Foundations have been created for private investment in the energy sector. As a result, during the year, public-private partnership projects were launched to attract billion of direct investment and build 6 new power plants with a capacity of 2.7 thousand megawatts.
A new stage of transformation is ahead, which requires solving the tasks of modernizing stations, improving energy efficiency, reducing costs and creating a competitive electricity market in the future.
Priority measures in these areas were discussed at the meeting. First of all, attention is paid to the issue of modernization of enterprises.
Today, power plant equipment wear is more than 50 percent. In addition, fuel consumption at old facilities is 2 times higher than at new combined-cycle plants.
In this regard, the need for continuing modernization was noted, but not by attracting funds under state guarantees, as before, but at the expense of private capital.
It was indicated that JSC National Electric Networks of Uzbekistan, Regional Electric Networks, Thermal Power Plants and Uzbekhydroenergy JSCs should switch to a system for preparing financial statements in accordance with international standards. This will become an important factor in obtaining an international credit rating and issuing Eurobonds in the future. Based on these goals, responsible persons were instructed to develop a three-year financial model and business plans for the four companies.
Instructions were given to attract foreign specialists to the boards and supervisory boards of enterprises to facilitate the transformation process.
Currently, due to the lack of rules for the wholesale electricity market, long-term agreements are concluded with investors to purchase energy at fixed prices. This approach may limit competition in the future. In this regard, it was emphasized that it is necessary to develop a document defining the stages and rules for transition to a competitive electricity market.
Instructions were given for broad introduction of advanced technologies in the industry, implementation of digital transformation.
Implementation of new projects was also discussed at the meeting. As is known, it is planned to construct solar power plants in Jizzakh, Samarkand and Surkhandarya regions, wind farms in Bukhara region and Karakalpakstan, and thermal power plants in Syrdarya and Surkhandarya regions. The importance of accelerating these projects and attracting investment based on public-private partnership was noted.
Responsible officials reported on the discussed issues.

Online Maslahat




Useful links