The government of Uzbekistan is expanding support for projects to build new small hydroelectric power plants on the republic’s rivers. Now the country’s commercial banks can issue so-called “green” consumer loans for the construction of hydroelectric power plants.
At the end of last year, the Cabinet of Ministers adopted Resolution No. 894 of December 27, 2024 “On Amendments and Supplements to Certain Decisions of the Government of the Republic of Uzbekistan in Connection with the Expansion of the Use of Renewable Energy Sources and the Systematic Implementation of Tariff Reform.”
The document introduces amendments and additions to five legislative acts of the Government of Uzbekistan, providing for:
- support for entrepreneurs engaged in the production of renewable energy installations;
- an increase in the number of “green” consumer loans issued by commercial banks and compensation payments for part of the interest on them.
Thus, if previously “green” consumer loans were issued to individuals in national currency only for the installation of solar photovoltaic and wind power plants, as well as solar water heaters, then from now on they will also be issued for the installation of:
- micro and small hydroelectric power plants;
- biogas production equipment;
- biogas plants;
- heat pumps;
- as well as the purchase of building insulation materials, household energy-efficient gas burner units and boilers.
The condition that the interest rate on “green” consumer loans should not exceed 1.5 times the base rate of the Central Bank of Uzbekistan in order to receive compensation to cover the portion of the interest rate that exceeds the base rate of the Central Bank has also been cancelled.
Changes and additions have been made to:
- Regulation on the Ministry of Energy of the Republic of Uzbekistan (Appendix to the Resolution of the Cabinet of Ministers of 09.02.2019 No. 108 );
- Regulation on the extra-budgetary intersectoral energy saving fund under the Ministry of Energy of the Republic of Uzbekistan (Appendix to the Resolution of the Cabinet of Ministers of 09.10.2020 No. 640 );
- Regulation on the procedure for the acquisition by the population of renewable energy sources produced by domestic manufacturers, with reimbursement of part of the costs of their acquisition or in installments (Appendix No. 1 to the Resolution of the Cabinet of Ministers of 05.10.2022 No. 568 );
- Regulation on the procedure for reimbursing part of the interest payments on the “Green” consumer loan (Appendix No. 1 to the Resolution of the Cabinet of Ministers of September 29, 2023 No. 517 );
- Rules for the use of electric energy and natural gas (PCM dated 31.05.2024 No. 319 ).
The document was published in the National Database of Legislation of Uzbekistan and entered into force on 30.12.2024.
