Reasons for the Increase in Electricity Prices from April Revealed

Uzbekistan

Starting April 1, 2025, electricity prices in Uzbekistan will rise again. This was announced by Minister of Economy and Finance Jamshid Kuchkarov during a plenary session of the Senate on December 18, 2024. According to him, this decision was made to cover costs in the energy sector and gradually reduce government subsidies.

Reasons for the Increase in Electricity Prices from April Revealed
The main reason for the increase in electricity prices is that tariffs still do not fully cover expenses. Jamshid Kuchkarov emphasized that subsidies for the energy sector will significantly decrease by 2027 and will almost cease by 2028.

On January 23, at a press conference held by the Agency of Information and Mass Communications, representatives of "Regional Electric Networks" JSC provided additional explanations on the matter. According to them, the decision to increase prices was made back in 2024.

According to Diyor Nishonov, a representative of "Regional Electric Networks" JSC, electricity prices had not been raised until 2018. This has now necessitated a step-by-step increase in tariffs. He highlighted that market prices for fuel and oil products rise annually, and that the modernization and renewal of power grids require substantial financial investments.

He also noted that installing new transformer stations and upgrading existing ones demand more funding from the state budget. Therefore, the price increase has become an unavoidable decision.

During the second plenary session of the Senate of the Oliy Majlis, Jamshid Kuchkarov also announced that heat supply tariffs in Tashkent would double next year. This is part of broader reforms in the energy sector aimed at ensuring the industry's economic stability.

The increase in electricity prices is expected to significantly impact the daily lives of citizens. However, officials view these measures as necessary for modernizing energy infrastructure and improving service quality.

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