The liberalization of electricity and gas prices for legal entities has commenced in Uzbekistan.

To address energy-related issues in the country, it is planned to liberalize electricity and gas prices for legal entities starting from October 1.

In this regard, the government has announced the draft decision titled "On additional measures to introduce market mechanisms in the fuel and energy sector." According to this proposal, the price of electricity for 1 kW-hour may be increased from 450 soums to 1,000 soums for budget organizations, and from 450 soums to 900 soums for other business representatives and legal entities, starting next month. Prices for residents will remain unchanged at 295 soums per 1 kW-hour.

Furthermore, the draft decision includes provisions for the liberalization of natural gas prices for budget organizations. Prices will be increased from 660 to 1,800 soums per 1 cubic meter, and from 660 to 1,500 soums for other business representatives and legal entities. However, the price of natural gas for the general population will remain unchanged at 380 soums per 1 cubic meter.

It is worth noting that Uzbekistan's energy enterprises concluded 2022 with losses, with six out of the ten most affected being state-owned enterprises in the electricity supply system. The primary reason behind this is the low electricity prices.