Tajikistan - EnergyTajikistan-Energy
Overview
Thousands of U.S. dollars2014 | 2015 (estimated) | 2016 (estimated) | 2017 (Estimated) | |
Total Local Production | 816,000 | 816,000 | 820,000 | 900,000 |
Total Exports | 43,700 | 45,500 | 46,000 | 90,000 |
Total Imports | 7,000 | 10,000 | 20,000 | 50,000 |
Imports from the US | 718 | 171 | 2,428 | 6,577 |
Total Market Size | 779,300 | 780,500 | 794,000 | 860,000 |
Exchange Rates | 4.82 | 5.51 | 7.18 | 8.8 |
Source: State Statistics Agency, U.S. Census, and U.S. Embassy staff estimates
Tajikistan’s energy sector is the most vibrant and investment intensive sector in the local economy. Government of Tajikistan declared energy independence as the highest political and economic priority for the country. Tajikistan’s total domestic electrical generation capacity is 6577 MW, including 5858 MW of hydroelectric capacity, and nearly 719 MW from a coal-fired combined heat and Chinese built and financed power plants in Dushanbe and Yovon.
The government spends on average up to $200 million from the annual state budget to finance the largest in the country hydro energy project - the Rogun hydro power station (3600 MW). In September 2017 Tajikistan offered Rogun bonds to foreign investors by placing $500 million at 7.15% interest rate Eurobonds.
The U.S., China, Italy, France, Germany, Russia, India, Belorussia, Kazakhstan, and Uzbekistan and number of international financial insitutions actively work in the energy sector of Tajikistan as either investors or suppliers of equipment and technical services.
In addition to hydro power, Tajikistan is actively developing its coal heating power capacity with Chinese loans and technical expertise. Tajikistan continues to pioneer the CASA-1000 project in the region. Uzbekistan and Tajikistan relations substantially improved in 2017-2018 and Tajikistan started exports of electrical energy to Uzbekistan in April 2018 in addition to its increasing exports to Afghanistan.
Most of the energy generation and energy distribution system in Tajikistan was designed and built in 1960s and 1970s. Tajikistan’s hydropower potential is estimated at 527 billion kWh per year, which exceeds the existing electricity consumption of the countries of Central Asia by 300%.
In terms of potential hydropower resources, Tajikistan is ranked eighth in the world after China, Russia, the United States, Brazil, Zaire, India and Canada. On specific indicators of hydropower potential per square kilometer (3,696.9 thousand kWh per year/km2) and per capita (65.9 thousand kWh per year/person) Tajikistan respectively occupies first and second place in the world. The Tajik government is implementing a two-track strategy: (i) improvement of the domestic energy sector, and (ii) development of large scale projects to generate electricity for export. Development will generate economic growth and create opportunities for diversification of export earnings.
Tajikistan’s power sector is managed by Barqi Tojik, a vertically integrated utility owned by the Government of Tajikistan. Hydropower plants generate 98% of the country’s electricity. The biggest HPP’s operated by the vertically integrated state power utility Barki Tojik are Nurek (3,000 MW), Sangtuda 1 (670 MW), Baipaza (600 MW), Golovnaya(240 MW), Sangtuda 2 (220MW), Qairakkum (126 MW), and Sangtuda 1 (670 MW).
Barki Tojik has good technical skill among its staff, but suffers from weak operational and economic management systems and a worsening financial position. This severely impacts its ability to undertake its critical functions of planning, implementing, and supplying good quality reliable power to the consumers of Tajikistan. The ADB review of Barki Tojik in 2013, conducted under sector operational performance improvement program of the Regional Power Transmission Project, has made a bleak assessment of the utility and identified several critical weaknesses. These related to the organizational structure, the financial reporting systems, the accounting and audit systems, the utility’s debts, the metering billing and collections system, commercial and technical losses, business planning process, management information systems, and its human resources management. Barqi Tojik’s debts has reached almost three billion somoni (USD 385 million).
As of February 2017, the utility owed one billion somoni (USD 110 million) to the Sangtuda-1 HPP, which is owned by Russian energy company RAO UES, and 500 million somoni (USD 54.32 million) to the Sangtuda-2 HPP owned by Iranian Sangob company and the Iranian government.
In 2017, internal power generation was 17.1 billion kilowatts-hours (kWh) with an internal consumption of 12.8 billion kWh. The high reliance on hydropower generation results in a power surplus in summer and a deficit in winter.
Due to limited resources and low electricity tariffs, the Government of Tajikistan relies on donor resources from the World Bank, Asian Development Bank, German KfW, Islamic Development Bank, European Bank for Reconstruction and Development, Chinese government, Russian government, Iranian government, German government, U.S. government, and other donors to develop and maintain the energy production and distribution network in Tajikistan.
The commissioning of additional generating capacities and measures taken to improve efficiency of electrical use resulted in fewer electricity outages during the autumn-winter period 2017-2018 for the first time in recent years.
In accordance with the Development Strategy and Investment Rehabilitation Program of Tajikistan, a number of organizational and technical measures are being implemented in the energy sector of the Republic of Tajikistan, including: reforming the management structure of national Utility Barqi Tojik with the division of activities between generation, transmission & distribution segments; increasing the new generation capacities, by construction of new facilities and the modernization of existing generating stations; development of the transport infrastructure of the energy system; Improving energy efficiency using modern automated control systems.
The total investment in the Tajik energy sector amounted to more than three billion US dollars since 2000. Currently, a number of projects at the implementation stage that will ensure safety of work and increase the electricity export potential.
Rehabilitation of Sarband HPP is ongoing. After project completion, the total power capacity of HPP will increase from 240 MW to 252 MW. Reconstruction of Qairakkum HPP will increase generation from 126 MW to 170 MW. Currently, the project is at the tendering stage and GE Hydro is in a strong position to win this project. Within the framework of the Regional Electric Power Transmission Project in Tajikistan, two 220 kV transmission lines with a total length of 140 km have been constructed, six high voltage substations have been modernized, and the SCADA EMS system of the upper level system has been completed by GE Grid. The Energy loss reduction program has also been successfully implemented in Tajikistan’s power grid.
Bidding procedures to select the winner for CASA 1000 project is at the final stage. Successful implementation of this project will enable Tajikistan to become the biggest energy exporter in Central Asia. The available volume of electricity exports from Tajikistan and Kyrgyzstan under this project, which is scheduled to commence in 2021, is about 5.5 billion kWh. One of the priorities for ensuring Tajikistan’s energy security and the efficient use of available water and energy resources is integration into the energy systems of Central Asia, in particular by connecting to the power grid system of Uzbekistan. At present, the interstate power lines are connected from the Regar 500 kV substation to 500KV substation Surkhan (Uzbekistan) and Regar 220 kV to 220kV Gulcha substation. These connections are the first step to ensure mutual supplies of electricity.
Leading Sub-Sectors
Tajikistan is the next importer of energy related equipment and technologies. The following table represents some selected but not limited to energy related sub-sector categories of products:HS Code | Item description |
8402 | Steam or other vapor generating boilers (other than central heating hot water boilers capable also of producing low pressure steam); super-heated water boilers. |
8404 | Auxiliary plant for use with boiler, condensers for steam and vapor power units. |
8406 | Steam turbines, vapor turbines. |
8410 | Hydraulic turbines, water wheels, and regulators. |
8411 | Turbo jets, turbo propellers and other gas turbines. |
8502 | Electric generating sets and rotary converters. |
8503 | Parts suitable for use solely or principally with the machines of heading No. 85.01 or 85.02 |
8504 | Electrical transformers, static converters and inductors |
8532 | Electrical capacitors, fixed, variable or adjustable (pre-set) |
8535 | Electrical apparatus for switching or protecting electrical circuit, or for making connections to or in electrical circuits, for a voltage exceeding 1000 volts |
8536 | Electrical apparatus for switching or protecting electrical circuit, or for making connections to or in electrical circuits, for a voltage not exceeding 1000 volts |
Opportunities
Potential hydroelectric power station projects in Tajikistan include:Vaksh River | Projected Capacity (MW) | |
1 | Rogun | 3,600 |
2 | Shurob | 750 |
Obi Hingou River | ||
3 | Sangvor | 800 |
4 | Urfat | 850 |
5 | Shtien | 600 |
6 | Evtaj | 800 |
7 | Kaftarguzarskaya | 650 |
Surhob River | ||
8 | Djalbulak | 600 |
9 | Sairon | 500 |
10 | Gorgen | 600 |
11 | Garm | 400 |
Panj River | ||
12 | Dashtijum | 4,000 |
13 | Barshorskaya | 300 |
14 | Anderobskaya | 650 |
15 | Pishtskaya | 320 |
16 | Horogskaya | 250 |
17 | Rushan | 3,000 |
18 | Yazgulem | 850 |
19 | Shirgovatskaya | 1,900 |
20 | "Granitniy Vorota" | 2,100 |
21 | Hostavskaya | 1,200 |
22 | Djumarskaya | 2,000 |
23 | Mosvoskaya | 800 |
24 | Kokchinskaya | 350 |
25 | Verhneamudarinskaya | 1,000 |
Zerafshan river | ||
26 | Matchinskaya | 90 |
27 | Riomutskaya | 75 |
28 | Oburdonskaya | 120 |
29 | Pahutskaya -1 | 130 |
30 | Pahutskaya -2 | |
31 | Iskanderdkulskaya | 120 |
32 | Yagnobskaya | 150 |
33 | Ravatskaya | 50 |
34 | Fondarinskaya | 300 |
35 | Zahmatabadskaya | |
36 | Sangistanskaya | 140 |
37 | Vishkanskaya | 160 |
38 | Yavanskaya | 160 |
39 | Dupulinskaya | 200 |
40 | Penjikent -1 | 50 |
41 | Penkikent -2 | 45 |
42 | Penjikent -3 | 65 |
43 | Dargskaya HPS | |
Varzob River | ||
44 | Pugus | 16.2 |
45 | Gushar | 17 |
Kafirnihan River | ||
46 | Vistan | 54 |
47 | Sarvoz | 42 |
48 | Yavroz | 90 |
49 | Bagjiddin | 125 |
50 | Lower Kafirnigan | 72 |
Web Resources
Project Management Group for Energy Facilities under the President of Tajikistan(http://www.energyprojects.tj/index.php?lang=en)
Open Joint Stock Energy Company Barki Tojik (http://www.barkitojik.tj)
CASA project (http://www.casa-1000.org/)
EBRD Energy projects in Tajikistan
(https://www.ebrd.com/cs/Satellite?c=Page&c32=on&cid=1395238314964&d=Mobile&pagename=EBRD%2FPage%2FSearchAndFilterPSD&s11=on)
(https://www.ebrd.com/work-with-us/projects/psd/qairokkum-hpp-climate-resilience-upgrade.html)
(https://www.ebrd.com/work-with-us/projects/psd/cross-regional-power-trade.html)
(https://www.ebrd.com/work-with-us/projects/psd/sugd---energy-loss-reduction-project.html)
ADB energy projects in Tajikistan
(https://www.adb.org/projects/country/taj/sector/energy-1059)
(https://www.carecprogram.org/?event=energy-sector-coordinating-committee-meeting-mar-2018)
(https://www.carecprogram.org/?event=carec-senior-officials-meeting-jun-2018)
World Bank energy assessment projects in Tajikistan
(http://www.worldbank.org/en/country/tajikistan/brief/final-reports-related-to-the-proposed-rogun-hpp)
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