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    Central Asia

    EDB: Central Asia risks persistent water shortages in 2028-2029 leading to energy supply shortages

    EDB: Central Asia risks persistent water shortages in 2028-2029 leading to energy supply shortages

    In the years 2028-2029, Central Asia is anticipated to confront persistent water shortages, with an estimated deficit ranging from approximately 5 to 12km³. Concurrently, there is a significant surge in electricity demand projected for the next decade in the region. Nikolai Podguzov, the Chairman of the Board of the Eurasian Development Bank (EDB), conveyed this information during the ongoing World Hydropower Congress in Bali.

    Nikolai Podguzov, the Chairman of the Board of the Eurasian Development Bank.
    Source: TAdviser

    Hydropower plays a pivotal role in Central Asia, not only in electricity generation but also in regulating river flows for irrigation purposes. Consequently, the countries in the region aspire to utilize their water resources for multiple purposes and seek investment to enhance their water potential. Substantial efforts are being dedicated to creating favorable conditions for investments, encompassing the modernization of existing hydroelectric power plants and the construction of new ones, along with the development of irrigation systems in the region, as highlighted by Nikolai Podguzov.

    HPP in Uzbekistan.
    Source: Ministry of Energy of Uzbekistan

    The construction of new hydroelectric power stations featuring reservoirs, along with the modernization of existing facilities, is envisioned to mitigate the effects of climate change. This, in turn, will facilitate the economic and social development of the region, which is heavily reliant on affordable, clean energy and the sustainable provision of water for irrigation systems. Leveraging the significant existing hydropower potential in the region holds the potential to enhance energy and food security and boost annual regional GDP growth rates by an estimated 1.5%. Additionally, it can help the countries meet their commitments to reduce greenhouse gas emissions in alignment with the Paris Agreement.

    Kambarata HPP-1 in Kyrgyzstan.
    Source: Kaztag.kz

    As per the assessments, Central Asia is among the few regions globally where less than 25% of its hydropower potential has been tapped. The region presently houses more than 80 hydroelectric power plants with a combined installed capacity of about 14,000 MW. Plans for the period until 2035 include increasing the hydroelectric power plant capacity by 8,900 MW through modernization and new construction. Notable projects on the horizon encompass the 1,860 MW Kambarata HPP-1 in the Kyrgyz Republic and the 3,600 MW Rogun HPP in Tajikistan, renowned for having the world's tallest dam at 335 meters, as pointed out by Nikolai Podguzov.

    Rogun HPP in Tajikistan.
    Source: Facebook / khadamotimatbuot

    The EDB intends to allocate over $400mn toward the development of Central Asia's water and energy sector over the next three years. This year, the EDB has initiated financing for the construction of the 100MW Kulanak hydroelectric power station in the Kyrgyz Republic and is in discussions regarding financing for other hydropower projects, including the significant Kambarata HPP-1 and Rogun HPP, which are the largest hydroelectric power stations in Central Asia.

    Nikolai Podguzov, Chairman of the EDB Board, extended an invitation to all potential investors to collaborate on the planning, financing, and execution of projects related to hydroelectric power plant construction and modernization in the member countries of the Bank, emphasizing the range of financial and technical tools available to support these initiatives.

     

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    07.11.2023, 00:51   Comments (0)   2244
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