The World Bank has approved $3.5 million in financing for Uzbekistan to support the country’s renewable energy development. This funding, provided as a payment guarantee, ensures that the state-owned National Electric Grid of Uzbekistan JSC can fulfill its commitment to purchase electricity from a new 100-megawatt (MW) solar power plant. The plant will be built and operated by Voltalia, a French company, in the Khorezm region.
Set to begin operations in November 2025, the solar plant will cover 177 hectares and produce over 240 gigawatt-hours of renewable energy each year. This output will reduce carbon dioxide emissions by more than 230,000 metric tons annually and provide clean electricity for around 60,000 households. The project marks a significant step in Uzbekistan’s transition to a green economy and its efforts to boost clean energy production.
Sarimay Foreign Enterprise LLC, a company owned by Voltalia, will lead the solar power plant project in Uzbekistan. This company will handle the project’s development, financing, construction, ownership, and operation. Once the plant is operational, Sarimay will sell electricity to the state-owned National Electric Grid of Uzbekistan JSC (NEGU) under a 25-year Power Purchase Agreement.
To support the project, the World Bank has provided a $3.5 million payment guarantee to secure NEGU’s commitment to purchasing electricity. This guarantee has also helped attract $80 million in investment, including over $54 million in financing from the European Bank for Reconstruction and Development (EBRD). The project is located in the Khorezm region and represents a major step in advancing renewable energy in Uzbekistan.
Tatiana Proskuryakova, the World Bank Regional Director for Central Asia, stated, “The World Bank Group supports Uzbekistan in meeting its energy needs and expanding renewable energy to reach 25 GW of capacity, covering 40% of the country’s electricity consumption by 2030 as stated in the state program Uzbekistan – 2030. We are pleased that the solar plant in the Khorezm region, backed by the Bank’s payment guarantee, will bring new private sector players to diversify the country’s renewable energy sector.”
Ferhat Esen, the World Bank Senior Energy Specialist and Task Team Leader of the Uzbekistan Guarantee Program, said in a statement, “Since 2020, the World Bank and IFC, both part of the World Bank Group, have supported the development of 1,000 MW of solar and 500 MW of wind energy in Uzbekistan. We have provided payment guarantees, financing, advisory services, and technical assistance, while also attracting private sector investments to help the government advance its renewable energy projects.”
The World Bank Group has been instrumental in supporting Uzbekistan’s renewable energy transition through several key projects. These include the country’s first 100 MW solar power plant in the Navoi region, which has been operational since 2021, and two 440 MW solar power plants in the Samarkand and Jizzakh regions, operational since 2024. Additionally, Uzbekistan’s first 500 MW wind power plant is currently under construction in the Navoi region. In the Bukhara region, a 250 MW solar power plant with a 63 MW/126 MWh battery energy storage system (BESS) is also under development. This BESS is a milestone project, being the first of its kind in Central Asia and the first globally to benefit from a World Bank guarantee for such a facility. Together, these initiatives underscore Uzbekistan’s commitment to expanding clean energy production and advancing its energy infrastructure.
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