On January 28, President Shavkat Mirziyoyev held a meeting to outline Uzbekistan’s power sector development strategy for 2025-2035.

In the past eight years, electricity production has increased by 38%, reaching 81.5 billion kilowatt-hours. Private sector participation has grown significantly, adding 11.2 gigawatts of new capacity. As a result, private power generation now accounts for 24% of the total, while renewable energy contributes 16%.

Rising Demand and Infrastructure Expansion

Household electricity consumption has doubled since 2016, surpassing 21 billion kilowatt-hours, driven by rising incomes and greater use of home appliances. By 2030, Uzbekistan’s population is expected to reach 41 million, and the economy is projected to grow 1.5 times, increasing electricity demand to 117 billion kilowatt-hours. By 2035, demand is expected to reach 135 billion kilowatt-hours – 1.7 times the current level.

To meet this growing demand, the government plans to build new power plants and energy storage facilities. Infrastructure expansion will include 7,000 kilometers of new power lines and the introduction of digital management systems to ensure efficient distribution. If one region faces shortages, excess capacity from another will be redirected to balance supply. Over the next five years, $4 billion will be invested in modernizing the national power grid.

Renewable Energy Targets and Efficiency Measures

A key priority is reducing electricity costs by expanding renewable energy sources. Uzbekistan is considered to have strong solar, wind, and hydro potential, and by 2030, half of the country’s electricity is expected to come from these sources. Plans include constructing 3,000 small hydropower plants with a combined capacity of 164 megawatts and adding 750 megawatts from solar and wind power.

The government had previously announced a goal to increase renewables’ share to 40% of total energy consumption by 2030, but the new target raises that figure to 50%.

In addition to expanding clean energy, Uzbekistan is working to improve industrial energy efficiency. Some chemical and metallurgical plants consume twice as much energy as similar facilities worldwide, while cement production in the country requires 1.2 times more energy than global benchmarks. The goal is to reduce energy waste by 10 – 15% across all industries and cut electricity losses from 14% to 8 – 9% by 2030.

Foreign Investment and Local Industry Opportunities

International investors are already engaged in energy projects worth $26 billion, creating opportunities for local companies to supply equipment and materials.

To guide these developments, the government has been tasked with preparing a long-term electricity strategy until 2035. The plan will focus on ensuring energy security, improving efficiency, and training skilled professionals to support Uzbekistan’s transition to a more sustainable power sector.

S.Jalolova