BAKU, Azerbaijan, September 2. Tajikistan is making significant progress in leveraging its vast hydropower potential to address domestic energy shortages and become a major electricity exporter, Trend reports via Moody's.
The nation, which has started winter power rationing since September 2024 due to supply constraints, is heavily investing in large-scale hydropower to secure its energy future. A major milestone was the World Bank (IBRA, Aaa stable) approval of a $350 million grant for the first phase of the Rogun Hydropower Project in December 2024. Upon completion in 2035, the Rogun facility will have an electricity generation capacity of over 17 billion kilowatt-hours a year on average, with 70 percent of its output to be exported to neighboring countries.
This project's viability has been strengthened by new power purchase agreements with the governments of Kazakhstan and Uzbekistan in 2024 and external financing from a wider group of development partners. A key component of this strategic shift is improved regional energy connectivity.
"With improving dialogue with development partners, Tajikistan rejoined the Unified Power System of Central Asia in June 2024, enhancing regional grid reliability and enabling seasonal balancing of electricity and water needs," reads Moody's report.
This reconnection will help reduce electricity shortages in both Tajikistan and Kyrgyzstan during the autumn-winter period.
Furthermore, the CASA-1000 project, a $1.2 billion initiative to export surplus hydropower from the Kyrgyz Republic and Tajikistan to Afghanistan and Pakistan (Caa1 stable), is scheduled to be partially operational by 2025. "The project offers opportunities for hydropower-rich countries like the Kyrgyz Republic and Tajikistan to expand electricity exports," the report notes.
To assist business and financial executives in making informed decisions, Moody's offers data, intelligence, and analytical tools. With more than 115 years of experience, Moody's offers highly qualified analysts, comprehensive data, strong tools backed by innovative technologies, and a forward-looking perspective. The entity assists clients in accelerating value creation in this era of exponential risk in a number of ways, including through our three cloud-based SaaS businesses that support vital banking, insurance, and KYC workflows: Ratings, Research & Insights; Premier Fixed Income Research Business; Data & Information; and Decision Solutions.
Stay up-to-date with more news on Trend News Agency's WhatsApp channel