Uzbekistan gives green light to two solar plants proposed by UAE and French companies

Uzbekistan’s President Shavkat Mirziyoyev on November 30 approved the construction of two solar power plants.

UAE company Masdar will build a 250-MW plant together with a 63-MW electricity storage system in the southwestern Bukhara region. The investment cost is estimated at $273mn.

Masdar has undertaken to provide a bank guarantee from a first-class foreign bank for $50mn as collateral for the duration of construction.

France's Voltalia will build a 100-MW solar power plant in Khorezm region under a public-private partnership (PPP). The required investment volume is $68mn. Voltalia has also pledged to provide a bank guarantee for $20mn during the construction period.

Uzbekistan's National Electric Networks concluded an agreement with both companies on the guaranteed purchase of electricity in national currency for 25 years.

In December 2022, the energy ministry announced the results of tenders for the construction of three photovoltaic power plants. Masdar won the bidding for the construction of the 250-MW plant with an offer of 3.044 cents per 1 kWh. Voltalia received the right to build the 100-MW plant in Khorezm. It will sell each kWh for 2.888 cents.