BAKU, Azerbaijan, May 8
By Ilkin Seyfaddini – Trend:
The objective of the 'Navoi Thermal Power Plant Modernization' is to strengthen the power supply capacity and reduce the fuel consumption, and construct the highly efficient Combined Cycle Power Plant (CCPP), thereby contributing to stabilizing the reliability and increasing efficiency of power in the country, Project Formulation Advisor of JICA Uzbekistan Office, Mizuho Kubota told Trend in an interview.
On December 19, 2019, the Japan International Cooperation Agency (JICA) signed three loan agreements with the Government of Uzbekistan in Tokyo, to provide Japanese Official Development Assistance (ODA) loans of up to a total of 187.8 billion yen ($1.7 billion) for the following three projects, aiming for high-quality infrastructure and industrial diversification - Navoi Thermal Power Plant Modernization Project, Phase 2, (loan amount - $1.2 billion), Electric Power Sector Capacity Development Project, Phase 2, (loan amount - $344.1 million), Horticulture Value Chain Promotion Project (loan amount - $217.1 million).
As Kubota said, the Japanese government's Development Cooperation Policy for Uzbekistan (March 2017) defines the rehabilitation and development of economic infrastructure (for transportation and energy) as a priority area and JICA country analysis paper for Uzbekistan (December 2014) also highlights development of economic infrastructure, especially for transportation and power sector as a priority area, which is consistent with the objective of the Project.
"As for the past Japanese ODA loan projects in the Electric Power Sector, there were six projects approve, worth $1.6 billion. For the electric power sector, based on high expectation to establish long-term partnership with Japan from the financial and technical aspects, the Japanese government concluded comprehensive agreements, targeting three individual projects ($816.4 million) as the Electric Power Sector Electric Power Loan," Kubota stated.
Kubota said that JICA signed all the loan agreements by October 2015.
He also added that Uzbekistan is short of engineers who manage and operate high-efficiency CCGT power facilities, so two Japanese ODA loan projects for improving operation, maintenance, and management skills were started in January 2015: The Project for Establishment of the Combined Cycle Gas Turbine (CCGT) Operation and Maintenance Training Center and the Technical Cooperation for Strengthening of Combined Cycle Gas Turbine (CCGT) Training Center.
The project will be complete by the end of April 2031, he said.
JICA is one of the world’s largest bilateral aid agencies. It’s in charge of administering Japan’s Official Development Assistance (ODA), under the Japanese Ministry of Foreign Affairs.
JICA supports socioeconomic development in developing countries through flexible combination of various types of assistance methods, such as technical cooperation, finance and investment cooperation, and grants.
It operates in approximately 150 countries and regions of the world.
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