News
The World Bank has allocated $10 million to reduce gas leaks
The Cabinet of Ministers has approved the parameters of a project to create a mechanism for reducing natural gas leaks in Uzbekistan. The World Bank has allocated a grant of $10.6 million for its implementation.
The project is being carried out with the assistance of the World Bank and is included in the state programme for implementing the «Uzbekistan — 2030» strategy for 2026.
An analysis of the gas transport infrastructure of «Uztransgaz» identified more than 1,000 problem points across the country. The annual volume of leaks at these facilities is estimated at approximately 35 million cubic metres of gas.
To implement the project, the Ministry of Economy and Finance signed an agreement with the World Bank on the provision of a $10.6 million grant. A subsidiary agreement on the allocation of funds was also signed with «Uztransgaz».
Under the approved parameters, $9.6 million will go directly towards measures to reduce gas losses in the infrastructure. A further $500,000 is earmarked for strengthening institutional capacity in leak monitoring, while the remaining $500,000 will fund the creation of a project implementation unit and the engagement of foreign experts.
An interdepartmental working group headed by Deputy Minister of Economy and Finance Umid Abidkhadjaev will be set up to coordinate the project.
The document also defines the procedure for using the funds saved through leak reduction. They will be reinvested in further cutting gas losses, introducing measurement, monitoring and verification systems, modernising the gas transport infrastructure and improving staff performance.
Source