American Chamber
of Commerce in Uzbekistan
UZBEKENERGO EDITED
Interview with Mr. Batirjan Mamadkhanovich Teshabayev, Chairman of the Board of Uzbekenergo State Joint-Stock Company of Uzbekistan.
“Let There Be Light!”
Most people take electricity for granted until a wind storm knocks the power out, or they sign up for a camping trip and willingly forego the convenience of electricity. It’s times like this that give us a special appreciation for this modern advantage.The first power source humans learned to use was fire. Acquiring the use of fire changed the way humans lived completely, allowing more control over their environment by providing both heat and light. With the use of fire we discovered how to cook our food and make our homes warm. Learning to control fire was an important advance in our civilization.
In the history of electricity, however, no single defining moment exists. The way we produce, distribute, install, and use electricity and the devices it powers is the culmination of nearly 300 years of research and development.
The role of the fuel and energy sector in any country’s economy is tremendous. B.M. Teshabaev, chairman of the board of Uzbekenergo State Joint-Stock Company of Uzbekistan, knows this better than anyone else. Teshabaev kindly agreed to share his views on the current situation in the Uzbek energy sector and on the future prospects of the power-generating industry.
AmCham: Please tell us about yourself and your life. When and how were you appointed chairman at Uzbekenergo?
B. M. Teshabaev: The beginning of my career in the electricity industry of Uzbekistan goes back to 1984. Upon graduation from the Tashkent Polytechnic Institute, I qualified as an electrical engineer and began working as an engineer of the Repairs Service (Ministry of Energy of the Republic of Uzbekistan).
From 1985 through 2001 I worked in the Tashkent Power Supply Network (TashGorPES). Our company provided the city with a reliable and quality power supply. In the company, I went all the way to the top – from the manager of the district power supply network (RES) to the head of the enterprise.
In 2001 I was appointed the general director of the State Inspectorate on Electricity Industry (“Uzgosenergonadzor”). Our agency exercised the state control over compliance with norms and regulations in the field of production, transmission and consumption of electricity.
In 2004 I was nominated for the first deputy chairman of “Uzbekenergo” State Joint- Stock Company, and in 2006 I became the chairman of the board.
AC: Would you brief us on the main trends in the development of Uzbekistan’s energy sector in recent years?
BMT: The power industry is the key economic sector in the Republic of Uzbekistan. With substantial industrial and scientific potential, the energy branch has considerable influence on the development of the country’s entire economic complex.
The State Joint-Stock Company Uzbekenergo was established as a public corporation. It is a governing body both for the electricity industry and coal mining, which are the major structural components of the country’s economy. Currently, there are 54 enterprises and organizations in our corporation. They are 41 public joint-stock companies, 11 unitary enterprises and two limited companies. The rated capacity of power stations of the Republic reaches 12.4 million kW, including 12 million kW of the rated capacity of 39 thermal power plants and water power stations. All of these belong to Uzbekenergo. The share of the in-plant electric power stations hardly exceeds 3 percent.
The “lion’s share” of electric power (up to 90 percent) is produced by 10 thermal power stations in the company. Their total rated capacity makes up 10.6 million kW. Twenty-nine water power stations have the rated capacity of 1.4 million kW. They mainly work as coordinated hydroelectric systems and use watercourses to generate the energy.
“Programme of Development and Reconstruction of Power-Generating Facilities of the Republic of Uzbekistan (2001-2010)” is our policy document. It was approved by the government. Within the program, the below facilities have been put into operation or are under construction:
• The substation Uzbekistanskaya (500 kV) with its transformer capacity of 1,002,000 kVA, and 169.4 kilometer-long high-voltage line (500 kV) from the Novo-Angrenskaya thermal power station. Both stations provide stable power supply to Ferghana Valley users;
• A 197.8 kilometer-long high-voltage line (500 kV) between the Guzar and Surkhan substations, and an AT-2 autotransformer with a capacity of 501,000 kVA at the Surkhan substation. These facilities allow the enhanced reliability of the power supply to users in the Surkhandarya province and increased exportations of electricity southwards;
• Construction of a 57.3 kilometer-long high-voltage line (110 kV) between Suvli and Zirabulak is in progress. The line will improve the power supply to the Zirabulak gas-compressor station.
• The 110 kV substation with a capacity of 2x25,000 kVA was constructed to provide electricity to the Navoi Free Economic Zone;
• Construction of a 500 kV high-voltage line is in progress. It will connect the thermal power plant in Syrdarinskaya with the substation in Sogdiana. Also, projects on the external power supply to Tashkent are under implementation.
• Much attention is being paid to improve systems for commercial accounting of power consumption.
AM: What is the most recent investment in Uzbekistan’s energy sector? Who are Uzbekenergo’s foreign partners?
BMT: If we mean international cooperation, the strategic tasks of the company are as follows:
• Mobilization of foreign investment to implement projects for the modernization of the electricity industry facilities and their technical and technological re-equipment. We also intend to enhance such facilities and construct new energy generating plants;
• Cooperation in the sphere of innovation, power-conservation and minimization of the energy production impact on the environment, including provisions of the Kyoto Protocol;
• Integration processes inside the CIS and harmonization of different legislations while forming the electricity and electric power market in Central Asia.
In compliance with the 2010 Investment Programme of the Republic of Uzbekistan, Uzbekenergo takes an active part in the mobilization of foreign investment. These funds are required to construct high-voltage lines, update power generating facilities and introduce a computer-aided system of commercial accounting of electric power.
Construction of two combined-cycle power plants at the Talimarjan thermal power station is a priority project for us. The capacity of the plants will be 400 megawatt (MW). Currently, the project is in the preparation stage. The government of Uzbekistan, the Asian Development Bank (ADB) and Japan International Cooperation Agency (JICA) signed the related Memorandum of Understanding in February 2010. According to the MOU, our foreign partners will finance the construction of two combined-cycle power plants at the Talimarjan thermal power station. The value of the project amounts to $350 million from the ADB and $300 million from JICA. The loan agreements were expected to be signed in May 2010.
In June 2009, the Uzbekistan government and JICA signed the Discussion Memorandum. The project calls for construction of two gas-turbine power plants between 2011 and 2014. Their combined capacity will be 27 MW. This will ensure a reliable supply of heat and electric power to Tashkent users. The project will also assist in fuel saving and the minimization of emissions. The whole power supply system will benefit from the project as new power-generating technologies will be applied. Construction of a third gas-turbine plant will be financed by the New Energy and Industrial Technology Development Organization (NEDO), a Japanese governmental organization.
Currently, we are involved in preparing projects for the construction of a high-voltage line (500 kV) from the Sogdiana substation to the Talimarjan thermal power plant. In addition, we intend to build one outdoor switchgear (500 kV) at the Talimarjan thermal power station. We will also draw a high-voltage line (500 kV) between the Syrdarinskaya and Novo-Angrenskaya thermal power stations. In order to finance the first project (about $120 million), the World Bank will issue a loan. The second project will be implemented through a soft credit which the Chinese government allocates to the Shanghai Cooperation Organization (SCO) participating countries.
Also, the SCO credit line will be used to finance the projects for re-equipment of the Angren opencast colliery. The loan amounts to $120 million. A new power-generating unit, with the capacity of 150 MW, will be built at the Angrenskaya thermal power station. The new plant is designed to burn high-ash coal.
Uzbekenergo is very keen to developing alternative sources of electrical power. In cooperation with the DOONJIN Co.Ltd from Korea, we have designed and built a 40-meter high anemometric tower. Related devices and equipment are also mounted on the tower to measure wind parameters. This pilot project was launched to support the idea of wind-driven power plants. In 2011 DOONJIN Co.Ltd will be ready to finance the construction of a wind-driven power plant (WDPP). Along with Korean support, the STS Group from Hungary and Iberdrola from Spain have shown interest in the construction of wind-driven power plants in Uzbekistan.
AC: What is your opinion on the prospects of developing the energy sector in Uzbekistan?
BMT: The current development strategy for the electricity industry was designed in accordance with the related Resolution of the Cabinet of Ministers (“Program of Implementation of Major Projects for Modernization, Technical and Technological Re-equipment of Industry in 2009-2014,” N0.PP-1072, d/d 12.03.2009).
Based on new technologies and equipment, the company has already launched the following projects:
• Modernization of the Tashkent thermal power station through installation of a combined-cycle power plant (370 MW);
• Enhancement of the Navoiskaya thermal power station through installation of a combined-cycle power plant (478 MW);
• Modernization of the Tashkent heat and power plant by installing three gas-turbine units (27 MW each);
• Enhancement of the Talimarjan thermal power station through the installation of two combined-cycle power units (400 MW each).
We are planning to equip the Talimarjan and Syrdarinskaya thermal power stations with expander generators with a total capacity of about 20 MW. Their technological specificity allows generating electrical power by means of the natural gas pressure difference. No organic fuel will be burnt in this case.
Another important project which we are realizing now is connected with the rational use of fuel and energy resources. In order to cut the natural gas share and increase the coal quantity in the energy generating process, we put the boilers of the Novo-Angrenskaya thermal power station into a position to burn coal all year round. Also, we update and technically re-equip the Angrensky opencast colliery by constructing power-generating unit N0.8.
We will install two turbo-units at the Angrenskaya thermal power station in the future years. The capacity of each unit will be 75 MW and they will be able to burn high-ash coal. Modern technologies of solid fuel combustion will allow us to use about 1 million tons of high-ash coal at the Angrenskaya thermal power station.
In terms of renewable energy sources, I would like to mention the construction of the Kamolot water power station. Its capacity will be 8 MW and the station will be built on the Chirchik-Bozsu route.
A number of small- and medium-size water power stations will be built on natural watercourses of the Republic. Their consolidated capacity will be 320 MW. The stations are believed to be a tangible “makeweight” to increase the share of renewable energy in the fuel and energy complex of the country.
Four water power stations in the Tashkent province are regarded as economically efficient. The total capacity of the Nizhne-Chatkalskaya, Akbulakskaya, Irgaliyskaya and Kamchikskaya water power stations will reach 203 MW. Along with them, two similar facilities (Zarchobskaya and Pilyu-Pi stations) with the capacity of 120 MW will be constructed in the Surkhandarya province.
In order to improve operational reliability of the water power stations, they will also be modernized. These measures will cover the stations of the Kadyrinskaya, Tashkentskaya and Nizhne-Bozsuyskaya coordinated hydroelectric systems, and the Farkhadskaya water power station.
Diversification of the fuel and energy complex of the country is the call of the times. We should acquire a habit of using the wind as an energy-generating source. For this reason, we are planning to build a pilot WDPP (750 kW) close to the Charvak reservoir.
If we refer to power supply networks we will see that Uzbekenergo makes every effort to improve and enhance electric power transmission systems, to form optimal configurations of main networks and to reduce losses of energy during transmissions.
Uzbekenergo and its subdivisions are implementing the following projects:
• High voltage line (500 kV) between Syrdarinskaya thermal power station and Sogdiana substation (2nd circuit). This 217 kilometer-long line will amplify electric power transmissions between the Central and South-West parts of the power supply system;
• Facilities to provide external power supply to the city of Tashkent (Keles substation (220kV) and 220 kV high-voltage line; Navoi substation (110 kV) and Sayilgokh substation (110 kV) with 110 kV cable line. These units and lines will make the electric power supply more reliable in the central part of the city. The total capacity of the transformers to be installed will make up 526 MVA, and the length of the supply lines (110-220 kV) will be more than 62 kilometers.
Now our engineers and experts are developing a project which will be carried out in the area of Sogdiana substation and the Talimarjan thermal power station. This will be the 500 kV high-voltage line and 500 kV outdoor switchgear forming the second circuit of the Central and South-West parts of the power supply system. The length of the line will be 218 kilometers.
We are also planning to construct a high-voltage line (500kV) between Syrdarinskaya and Novo-Angrenskaya thermal power stations. The line will cover 150 kilometers and connect two of the biggest power stations of the Republic, thus ensuring reliability of the power supply system operation.
Uzbekenergo continues with its work on the modernization of the electric power control systems. In this respect, the users’ electric power units are equipped with high-precision electricity supply meters (Automatic System for Commercial Accounting of Power Consumption).
Our sector equips household users with modern electronic devices to account power consumption. More than 1 million single-phase power counters have already been installed.
Under the establishment of the Automatic System for Commercial Accounting of Power Consumption, we plan to install more than 4.4 million modern electronic devices on the power supply networks of companies and users, including 3.9 million counters in the household sector alone.
