Uzbekistan moves to digital-only payments for drinking water and wastewater services

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Will a social norm for drinking water be introduced in Uzbekistan?

Beginning December 1, 2024, Uzbekistan will accept payments for drinking water and wastewater services exclusively through electronic methods, according to a statement from "Uzsuvtaminot," the national water supply company.

This shift aims to increase transparency in the sector and combat corruption. Several recent cases have exposed corruption within the industry, particularly related to cash payments. Notably, multiple legal violations involving cash handling have been identified, prompting this move to digital transactions.

One recent case involved an inspector from the Syrdarya region’s anti-corruption compliance department, who allegedly misappropriated over 52 million sums intended for water payments. Instead of depositing the funds into company accounts, the inspector reportedly diverted the money for personal use. Documents related to this case were submitted to the Syrdarya Prosecutor’s Office, and a criminal case was filed under Article 168, Part 2, Clause "a" (small-scale fraud) of the Criminal Code. The investigation is ongoing.

A similar incident in the Khorezm region involved five district branches of "Khorezm Water Supply" JSC, where responsible individuals reportedly misappropriated 380 million sums in water payments. Following these discoveries, criminal proceedings were initiated under Article 167 of the Criminal Code (embezzlement or theft through fraud), and investigations are underway.

To prevent such incidents, cash payments made directly to water supply supervisors or workers will be phased out entirely, starting December 1.