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Uzbekistan on verge of energy crisis if gas tariffs not raised?

Oil&Gas Materials 4 October 2018 12:51 (UTC +04:00)
The tariffs for gas and electricity for individuals can be increased by 10 percent in Uzbekistan.
Uzbekistan on verge of energy crisis if gas tariffs not raised?

Baku, Azerbaijan, October 4

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The tariffs for gas and electricity for individuals can be increased by 10 percent in Uzbekistan, Gazeta.uz quoted Odil Temirov, the Deputy Chairman of the Board of the Uzbekneftegaz company, and Sharifjon Tursunov, the Chairman of the Board of the UzTransGaz company as saying at a meeting of the International Press Club.

Temirov said the issue of raising the cost of 1 cubic meter of natural gas from 289.7 to 320 soums (by 10 percent) for the population, and up to 600 soums for enterprises of various economic sectors (Uzkimyosanoat SJSC, Uzbekenergo JSC and etc.) is discussed currently together with the Ministry of Economy and the Ministry of Finance.

The Chairman of the Board of UzTransGaz company Tursunov said that if the gas tariffs were not changed, a crisis could happen in the energy or other sphere.

"We need to save energy. At the expense of what? The benefits will be provided to low-income families who consume few resources, and there must be a different tariff for those who consume a lot. This issue is still under discussion. We need to put this issue up for public discussion. We have to follow this path, there is no other way to save resources. It’s the same all over the world," he said.

He believes Uzbekistan is not yet ready for differentiated tariffs due to the lack of special meters.

“When we install them, the meter will automatically calculate the necessary tariff itself. People cannot cope with this themselves,” Tursunov explained.

In an interview with a Gazeta.uz correspondent, the director of board of UzTransGaz confirmed that it has been planned to raise gas prices by 10 percent for the population and by more than 50 percent for enterprises.

Earlier, Uznefteprodukt, Uzbekneftegaz and Uzbekenergo companies explained the reasons for the revision of the tariff policy and the rising costs in production of electricity, gas and gasoline.

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