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RESOLUTION OF THE PRESIDENT OF THE REPUBLIC OF UZBEKISTAN

of March 30, 2023 No. PP-104

O measures for further reforming of the hydroenergy sphere

For the purpose of ensuring execution of the Presidential decree of the Republic of Uzbekistan of April 8, 2022 No. UP-101 "About the Next Reforms on Creation of Conditions for Stable Economic Growth by Improvement of the Entrepreneurial Circle and Private Sector Development":

1. For the purpose of further building-up of capacities of hydropower to agree with offers of the Department of Energy, the Ministry of investments, the industry and trade, and also JSC Uzbekgidroenergo (further - Society) on:

a) to finishing till total 2030 capacity of hydropower to 4999 MW, including to creation of additional capacities by Society - 2311 MW, with participation of private investors - 615 MW;

b) realization since 2023 of in addition following perspective projects (further - perspective projects) constructions:

in Bostanlyksky district of the Tashkent region of Yukoripskemsky, Korongitugaysky, Toldiksoysky hydroelectric power stations, the cascade of Oygainsky hydroelectric power stations and total Yukoripskemsky pumped storage power plant capacity of 876 MW;

on the Naryn River in the Namangan region of the cascade of total Naryn hydroelectric power stations capacity of 225 MW;

in Saryasiysky district of the Surkhandarya region of the cascade of total Yukoritupalangsky hydroelectric power stations capacity of 264 MW.

2. Approve the Program of additional measures for further development of hydropower for 2023 - 2030 (further - the Program) providing:

Updated target indicators of further development of hydropower and increase in level of use of hydrological potential in 2023 - 2030 according to appendix No. 1 *;

The list of 9 summary investment projects capacity of 748,5 of the MW included in the Investing program of the Republic of Uzbekistan for 2023 - 2025 and implemented in 2023 - 2027 according to appendix No. 2 *;

The list of 47 summary investment projects capacity of 2749,5 of the MW directed to increase in level of use of the available hydrological potential, creation new and upgrade of the operating capacities of hydroelectric power stations in 2024 - 2030 according to appendix No. 3 *;

The list of the equipment, component parts and the spare parts necessary for construction and operation of small hydroelectric power stations, and also recommended for localization in 2023 - 2025 on cooperation basis according to appendix No. 4*.

Authorize the Cabinet of Ministers to make corrections, additions and changes to appendices No. No. 2-3 to this resolution, if necessary - with preserving general parameters and indicators of the Program.

3. Determine that:

requirements of the resolution of the President of the Republic of Uzbekistan of December 10, 2021 "About additional measures for further development of hydropower" are applied No. PP-44 to the projects provided by the Program;

after creation of wholesale and retail electricity markets the payment for the electric power developed by the regulating hydroelectric power stations, including pumped storage power plants will be performed based on separate procedure (payment for capacity);

Society can take part in quality of the state partner or in cooperation with private investors in the projects realized on the basis of public-private partnership in cases when these projects are interconnected and also the projects realized by it can make direct impact on hydroelectric power station as a part of Society;

realization in accordance with the established procedure of the assets belonging to JSC Suvsanoatmash as a part of Society by means of the public biddings, and also implementation of projects of production of installations of hydroelectric power stations at the expense of the means which arrived from realization and own means of Society with involvement of foreign partners is allowed.

4. Agree with offers of the Department of Energy, the Ministry of Economics and finance, Agencies on management of the state assets and Societies about:

implementation of the perspective projects provided by appendix No. 5 * with attraction of foreign secured loans of the Republic of Uzbekistan and other foreign credits;

construction at the expense of means of Society of the roads conducting to the territories in which perspective projects, and other necessary infrastructure facilities along with development of the design estimates with involvement of the contract organizations determined within the investment projects realized by Society in the above-stated territories are implemented;

provision of permission to the organizations in system of this Society on participation in the public procurements conducted in accordance with the established procedure by other organizations in system of Society;

inclusion of JSC Gidroproyekt involved in development of the design estimates of the investment projects realized by Society as the single supplier in the Unified register of suppliers created by the Ministry of Economics and finance;

provision of permission to Society and the organizations in its system on the conclusion of direct agreements on purchase of floating constructions with the MACLEC Technical Project Laboratory Pvt Ltd company (India);

to transfer of packet of the state shares of JSC Uzsuvloyikha to Society due to increase in the state share in its authorized capital.

5. To the ministry of investments, the industry and trade together with the Ministry of Economics and finance, the Department of Energy and Society:

in three-months time to hold negotiations with the relevant international financial institutions, foreign government financial institutions and foreign commercial banks on attraction of financial sources on perspective projects;

following the results of negotiations to provide inclusion of perspective projects in the address list of the investment projects realized with attraction of the foreign credits on behalf of the Republic of Uzbekistan or under guarantee of the Republic of Uzbekistan in a month.

At the same time:

for attraction of the foreign credits for perspective projects without provision of a guarantee for the Republic of Uzbekistan JSC Natsionalnye elektricheskiye seti Uzbekistana undertakes the obligation of the guaranteed purchase of the electric power developed within project data within at least 25 years on the rate established by the project and approved with the Interdepartmental tariff commission under the Cabinet of Ministers;

before approval of the feasibility statement on perspective projects on the credits required on these projects, the guarantee of the Republic of Uzbekistan is not provided.

6. To provide to society till February 1, 2024 development of the preproject documentation of perspective projects in interaction with potential investors with involvement of the domestic and foreign project organizations.

7. Determine that Society implements package of measures for diversification of industry, providing:

further effective use of the empty land in the territories adjacent to hydroelectric power stations and water storage basins, by construction on them solar photopower plants;

the beginning of development since August 1, 2023 of the additional electric power by widespread introduction of free-flow innovative technologies on the rivers and canals in regions of the republic;

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