1. Energy Efficiency in Uzbekistan
2. Strategies for Improvements in Energy Efficiency


Back to Part4 MainPage


Energy Efficiency in Uzbekistan

Uzbekistan has a substantial potential of natural resources, including energy resources. Uzbekistan has 70 per cent of gas resources of Central Asia, 30 per cent of oil resources, 55 per cent of coal, and 14 per cent of hydropower resources of the region that can be technically used.

The country is basically independent in energy. However, the high levels of energy consumption cause high costs of production and have negative effects on the environment. Energy consumption in Uzbekistan is 1.5-2 times higher than in other developing countries. It has been estimated that current levels of energy consumption could be reduced up to 40-50 per cent without compromising production or comfort. More than 30 per cent of the energy saving potential is in the fuel and energy complex itself, about 30 per cent in industry, 20 per cent in communal services sector and agriculture, and about 10 per cent in transport.

The overall potential for energy savings in industry is estimated at approximately 300,000 tons of coal equivalent (about 500 million kWh). Industry and municipal heat and electricity supply account for the highest specific consumption of energy. Most of the establishments do not have scientifically based norms of energy consumption per unit of production. Consumption is traditionally compared to that of the previous year.

One of the main reasons for the inefficient use of fuel in the electric power industry is that the equipment of the power plants and the network has deteriorated greatly. It is planned to overhaul and to fundamentally renovate existing enterprises in accordance with modern energy efficient technology.

The recent oil and gas industry development has provided the basic for the creation of a reliable power sector development. More than one fourth of the domestic gas production goes directly to the electric power plants. Renovation and technical overhaul, introduction of metres and control devices will decrease energy intensity by 0.5-0.6 million t.c.e. In the iron and steel industry the modernization plans of feasible energy efficiency projects in the Republic of Uzbekistan has been estimated at US$ 16 billion. Mobilization of private sector financing will be essential to realize these projects.

It appears to be lucrative to further develop the country's hydropower resources. A study analyzed the potential development of the river Pskem which would allow saving 180,000 t.c.e. The total theoretical potential of renewable energy may amount to 179.3 million t.c.e. However, at the moment actual use of renewable energy sources in Uzbekistan is only 0.33 per cent of the theoretical potential.

top

Strategies for Improvements in Energy Efficiency

The technical potential to increase energy efficiency in Uzbekistan can only be realized with additional financing by foreign direct investment or government secured loans. However, the country cannot afford the cost of all required investments expected to exceed US$ 4.0 billion. Therefore financing may be the main constraint to building an efficient energy system in Uzbekistan.

Uzbekistan has already taken several steps to increase energy efficiency. By the decision of the Cabinet of Ministers, Decree N357 of 15 July 1993 the Fuel and Energy Efficiency Commission was created. Uzbekistan has also adopted the "Law on Rational Use of Energy". This law regulates activities of juristic and non-juristic persons in connection with extraction, production, refining, storage, transportation, distribution, and consumption of fuel, thermal and electric energy. The Government also introduced the "Electric Power Generation Programme of the Republic of Uzbekistan up to the year 2010". This Programme sets forward ways to develop the use of thermal power.

The energy efficiency strategy of the Government of Uzbekistan mainly focuses on three essential points: energy pricing, institutional capability development and education and information dissemination.

The following guidelines and measures are recommended to improve energy efficiency in Uzbekistan:

-	installation of metres to measure electricity and heat consumption;
-	introduction of automatic control systems;
-	renovation of equipment and introduction of energy efficient technologies;
-	development of standards and norms;
-	scientific research in selected relevant areas;
-	international exchange of information.
-	creation of a national energy efficiency fund.

top

* Head of Department, Ministry of Power Engineering and Electrification of the Republic of Uzbekistan
** Director, Energy Center of Uzbekistan