EU to provide major funding for Kambarata HPP-1 construction

north_east

Construction of Kambarata HPP-1 to be accelerated

The European Union will allocate $1 billion for the construction of the Kambarata HPP-1. The news was reported by the Ministry of Energy of Kyrgyzstan.

According to the ministry, on October 9–10, Energy Minister Taalaibek Ibraev visited Brussels (Belgium) to participate in the Global Gateway forum.

During the event, he held meetings with representatives of international financial institutions, as well as with Kazakhstan’s Energy Minister Erlan Akkenzhenov and Uzbekistan’s Energy Minister Jurabek Mirzamakhmudov, to discuss the progress of the Kambarata HPP-1 project.

Following these discussions, the European Union agreed to allocate a total of $2.4 billion to finance the project in cooperation with Kyrgyzstan, Uzbekistan, and Kazakhstan, and signed bilateral documents with all three countries.

It was clarified that the two memorandums were signed after the European Union confirmed its readiness to allocate $1 billion to the Kyrgyz Republic:

1. A memorandum of understanding on financing the Kambarata HPP-1 project was signed between the Kyrgyz Ministry of Energy and the European Investment Bank. During the negotiations, the parties agreed to provide up to $500 million for the project.
2. Another memorandum of understanding on financing the Kambarata HPP-1 project was signed between the Kyrgyz Ministry of Energy and the European Bank for Reconstruction and Development (EBRD). The document envisions financing of up to $500 million.

Kambarata HPP-1 is a major hydropower plant with a planned capacity of 1,860 megawatts, to be constructed on the Naryn River in Kyrgyzstan. The project is regarded as an important regional initiative aimed at strengthening energy security in Central Asia and promoting the efficient use of water resources.

It is worth noting that earlier, Russian President Vladimir Putin announced plans to further increase Russia’s investment and participation in major energy projects across Central Asia.