Baku, Azerbaijan, Oct. 2
By Fakhri Vakilov - Trend:
The Ministry of Finance signed an agreement with the International Finance Corporation (IFC) to provide advisory services to Uzbekistan on structuring and competitive bidding on a public-private partnership (PPP) project for the construction of a combined-cycle plant with a capacity of 1300 megawatts in the Syrdarya region, Trend reports citing Uzbek media.
It was noted that the successful implementation of this public-private partnership project will increase the stability of electricity supply and allow more efficient use of natural gas.
As a transactional adviser, IFC will support the government in developing a public-private partnership project that will attract leading private investors to develop the project and appropriately share risks between the public and private sectors.
The government will select an investor for the project in the bidding process, which will be conducted in accordance with best practices.
This project’s goal is a key one for Uzbekistan, as the growth in energy demand will grow to 50 percent in the country by 2030, according to World Bank Group estimates.
This project is part of IFC’s broader efforts to support private sector investment in Uzbekistan’s energy sector.
Currently, IFC in Uzbekistan manages an investment portfolio of $58 million. Major investments are concentrated in the financial sector and the textile industry.
IFC advisory services are provided through six projects aimed at assisting the country in privatizing state-owned enterprises, including two state-owned banks, transforming the cotton sector, developing and diversifying the financial market, and promoting energy efficiency in the chemical industry and piloting PPP transactions in renewable sectors energy sources and health.
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