The European Bank for Reconstruction and Development (EBRD) will provide a loan of up to $240 million to Uzbek state-owned energy company, Uzbekenergo, for the generation of additional capacity at the existing Talimarjan Power Plant (TPP) in southern Uzbekistan, the bank announced Monday.
The project, which will help improve the efficiency and reliability of the power supply in Uzbekistan, will be the largest EBRD investment in the country to date, and will be co-financed with the Asian Development Bank and the Uzbek Fund for Reconstruction and Development.
"The funding will allow the state-owned vertically integrated power utility responsible for the majority of the country's electricity generation, transmission and distribution to finance the installation of at least 900-megawatt combined cycle gas turbines and related infrastructure," the statement read.
As energy losses of up to 20 percent are experienced due to unreliable power supply and obsolete facilities across the country, the investment will also contribute to the government's objective to create new modern power generation capacities, the statement said.
The EBRD has also invested €1.3 billion ($1.48 billion) in 70 projects in the country.
By Firdevs Yuksel