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A Turkish company will invest more than $350 million in modernizing the power grids of the Samarkand region

$357 million of direct investment will be attracted to the energy distribution infrastructure of the Samarkand region. Resolution on the launch of a large-scale public-private partnership (PPP) projectsignedShavkat Mirziyoyev.

Distribution networks will remain fully owned by the state, but management and operation will be transferred to a private operator for a period of 12 years. The main goal of the project is to update worn-out equipment, eliminate capacity shortages and ensure stable power supply for residents and new industrial facilities.

Following the results of the international tender, the investor was the Turkish company Aksa Elektrik Perakende Satış A.Ş., which founded the Uzbek enterprise Aksa Samarqand Electricity Distribution for this purpose. In the first two years of the transition period, the investor will allocate at least $27 million, and in the future will undertake a large-scale reconstruction of the lines and the introduction of digital control systems.

A separate key condition will be the systematic reduction of electricity losses. The target schedule will be fixed based on the results of the technical audit: with basic losses of 20–25%, they will be obliged to reduce them by 1.4 percentage points annually, and with a level of 15–20% - by 0.6 percentage points.

The investor`s compliance with all obligations and investment volumes will be monitored by the Ministry of Energy and the Ministry of Economy and Finance.

Previouslyreportedthat Uzbekistan plans to introduce a single energy passport for each mahalla. It will collect information about consumers, the condition of electrical and gas networks, as well as the necessary repairs and modernization of infrastructure.



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