The Use of Renewable Energy - An Issue of National Importance

On June 10, President Shavkat Mirziyoyev chaired a videoconferencing on expanding the use of renewable energy sources.

As a matter of fact, the glorification of human dignity generally has been defined for action in all spheres in our country. A prosperous life greatly depends on the affordable supply of energy. Owing to the recent reforms, the blackouts in the energy supply have decreased considerably. However, thanks to the dramatic increase in energy demand during the autumn and winter seasons, a major burden is placed on a power grid.

Nowadays, our country is in need of an additional 2-3 billion kilowatt-hours of electricity. It is expected to increase up to 10 billion kilowatt hours within the next five years.

The most effective way in this situation is to expand the use of renewable energy sources (RES) in households, enterprises, kindergartens, schools and hospitals.

In this regard, the issues of extensive implementation of devices based on renewable energy sources and measures to stimulate the population to use them were discussed at the meeting.

«The current issue is of national importance. First of all, we had better start with ourselves. Every khokim (governor or a mayor), minister and heads of all departments should give their own example and install alternative energy equipment in their houses and workplaces»,- Shavkat Mirziyoyev has said.

In this regard, the implementation of a new support system for the population and entrepreneurs has been defined. Therefore, for each installed solar and wind power generation equipment, depending on its capacity, the compensation up to 15 million Uzbek soums will be allocated, and for water heating equipment based on these energy sources the compensation will be up to 2 million Uzbek soums. In place of compensation, there will be an opportunity to purchase the equipment in installments for 3 years without the interest rate.

Well, suppose a family spends about 195 thousand Uzbek soums a month to heat water. If a family installs a 200-liter solar water heater at a cost of 6 million Uzbek soums, it will be compensated 2 million Uzbek soums by a state. By reducing monthly expenses, the water heater shall cover its cost over 21 months.

If a family prefers to pay in installments instead of getting a compensation, the monthly payment shall be 170 thousand Uzbek soums, which is less than the current monthly costs, and there will be no expenses after three years of generating hot water.

Another advantage is that people will not have to visit any agency. All documents will be executed at the place of equipment purchase. This system shall be implemented paid for by a special fund of the Ministry of Energy.

The President has instructed to digitalize the entire process and to launch the new system from September 1 of this year.

A particular attention is paid to the supply of low income families with such devices, the residents of remote and hard-to-reach areas. The need to use devices based on alternative energy in the block of flats «Yangi Uzbekiston» («New Uzbekistan»), as well as in the organization of street lighting as part of the programs «Obod Qishloq» (‘A prosperous village’) and «Obod Makhalla» (‘A prosperous local neighborhood community area’).

At the meeting, the successful practical experience on the ground was noted.

For example, the boarding school №3 in Khojeyli District of the Republic of Karakalpakstan is equipped with solar panels of the capacity of 12 kilowatts and with a water-heating boiler of 1 ton. As a result, the school annually saves 30 million Uzbek soums on electricity and natural gas.

Meanwhile, a branch of the Russian Chemical-Technological University named after D.I. Mendeleev uses a solar installation with a capacity of 100 kilowatts and 36 water heaters, which annually allows to reduce electricity consumption by almost 2 billion Uzbek soums.

During the meeting a task was set to expand this experience and gradually install equipment based on alternative energy in pre-schools, schools, medical and other social infrastructures.

Besides, from 2023, many buildings, such as shopping malls, restaurants, hotels, gas stations, airports, railway stations and commercial banks shall be required to provide a part of their energy consumption for hot water and outdoor lighting only from renewable energy sources.

As the calculations indicate, Uzbekistan consumes electricity and gas amounting to $10 billion a year. For example, last year the Ministry of Water Economy invested 3 trillion Uzbek soums in energy resources, while the public education and healthcare systems spent 200 billion Uzbek soums.

The President has emphasized that it is time to start transferring all ministries and departments, khokimiyats (governors’ and mayors’ offices) and makhallas (the local neighborhood community areas) to an alternative energy.

In this regard, the Ministry of Finance was instructed to establish the standards of energy consumption at government agencies, develop a national program of energy conservation in the economy and social sectors.

It was noted that, taking into account the growing demand for alternative energy devices, it is necessary to increase their production in the country.

Another major source of energy is hydroelectric power plants. To increase power generation capacity in the regions and areas suitable for the construction of micro and small hydroelectric power plants, totally 200 such projects with a capacity of 56 megawatts have been developed.

The President has underscored the importance of implementing the projects based on a public-private partnership. Along with this, the beneficial purchase rates shall be set for entrepreneurs, and the land shall be granted on a long-term lease to a winner of the auction. The surplus of electricity generated by solar, wind and micro hydroelectric power plants shall be guaranteed to be purchased by the government for at least 10 years.

The entrepreneurs who delivered speeches at the meeting shared their positive experience, while the the responsible officials presented their plans for enforcing the set tasks.