PRESIDENTIAL DECREE OF THE REPUBLIC OF UZBEKISTAN

of March 27, 2025 No. UP-63

About measures for enhancement of public administration in the sphere of increase in energy efficiency and to market development of services of power service companies

(Extraction)

For the purpose of conducting single state policy in the sphere of increase in energy efficiency, creation of the complete and coordinated ecosystem based on the market principles, including in the field of energy consumption and the market of services of the power service companies gaining income from energy saving, and also expansion of "green" financial instruments in "Year of environmental protection and "green economy" I decide developments of audit, consulting and management:

I. Enhancement of public administration

1. Form the National agency on energy efficiency under the Cabinet of Ministers (further - the Agency).

2. Determine the main objectives of the Agency:

(a) conducting single state policy in the sphere of increase in energy efficiency, development and regulation of measures of stimulation and impact in the sphere;

(b) market development of services of the power service companies (ESKO) gaining income from energy saving;

(c) portfolio construction of projects with outstanding energy efficiency and attraction of private investments on their realization;

(d) implementation of system of preparation, retraining and assessment of qualification of professional personnel in the sphere of increase in energy efficiency;

(e) the organization and financing of the information campaigns for increase in culture of energy consumption oriented to forming of behavior and the conduct of life based on rational use and abstention from wasteful consumption of energy resources on the population and entrepreneurs.

II. Stimulation of increase in energy efficiency

3. Determine that:

(a) since July 1, 2025:

(i) allocation of subsidies on the basis of the procedure established by the Agency for compensation of 20 percent of expenses on carrying out energy audit of premises of the population, and also cost of solar panels and heliocollectors and 40 percent of cost of thermal pumps (air, water and geothermal takes root), but no more 50-fold size of basic settlement size;

(ii) bank loans for financing of the ESKO projects at the expense of the resources placed by the Agency in commercial banks are allocated;

(iii) on the credits allocated to the population "green repair" is compensated to commercial banks at the expense of means of the Agency the part exceeding 19 percent, but in the amount of no more than 4 percent points of credit rate;

(b) since January 1, 2026:

(i) at least 5 percent of expenses of the fourth group of expense budget of state-financed organizations and receivers of budgetary funds, and also at least 15 percent of their extrabudgetary funds are planned for actions and projects on increase in energy efficiency;

(ii) The development program of social and production infrastructure is created on the basis of provision of priority to the projects directed to increase in energy efficiency;

(iii) practice of transfer to private sector of operation of objects of the social sphere on the basis of the agreement on public-private partnership after implementation in them of projects on increase in energy efficiency takes root;

(iv) The agency creates base of power passports of objects of the social sphere and office buildings on the basis of results of their energy audit, and also target indicators of optimization of consumption of energy resources are determined;

(v) by means of electronic platform (marketpleys) communication services of the population and business subjects with the organizations which are engaged in rendering services, delivery and financing in the market of power service, rendering to them the practical help with energy efficient technologies and funding opportunities by means of the Call-centers, mobile applications and benefits take root.

4. To the agency together with the Ministry of Economics and finance:

(a) till July 1, 2025 to develop and provide bringing to all state-financed organizations and receivers of budgetary funds of methodical instructions about implementation of actions and projects on increase in energy efficiency;

(b) till September 1, 2025 to start the Digital platform on increase in energy efficiency (further - energy efficiency Platform) providing:

(i) maintaining the Unified register of auditors, consultants, managers, the ESKO-companies and verifiers in the sphere of increase in energy efficiency;

(ii) submission of the List of producers of solar panels, heliocollectors, thermal pumps and others the "green technologies" acquired on the basis of subsidizing and preferential crediting;

(iii) provision of data and consulting services in products promoting energy saving and the services having potential to power service companies and sources of financing.

5. Establish procedure according to which:

(a) subsidies and the credits are allocated based on the corresponding conclusion of the power accountants included in the Unified register of the Agency;

(b) the credits "green repair" allocated to the population by commercial banks are drawn up based on the certificate "Green project" created on the Green Repair platform of JSC The Company on Refinancing of Mortgage of Uzbekistan and financed by this society by the raised funds of the international financial institutions, budgetary funds, means in the capital market or other sources separately or in the mixed form;

(c) subsidies for solar panels, heliocollectors and thermal pumps extend only to the equipment acquired by means of energy efficiency Platform;

(d) power of review of loan interest rate "green repair" is provided to the Cabinet of Ministers.

III. Financing sources

6. Create off-budget fund of stimulation and support of energy efficiency for the Agency (further - Fund) without formation of legal entity.

7. To the Ministry of Economics and finance:

(a) to allocate Fonda from the Government budget in 2025 of means in the amount of 100 billion sum, in 2026-2027 proceeding from requirements of the population - annually to 200 billion sum;

(b) to take measures for attraction by means of commercial banks of means of soft credits in the amount of 200 million US dollars on projects on increase in energy efficiency of subjects of entrepreneurship within the "Funding Mechanism for Green Economy" project of the European Bank for Reconstruction and Development. At the same time until the end of the current year to raise funds in the amount of at least 20 million US dollars.

8. To the Ministry of Economics and finance together with the Agency to take measures for the direction on financing of the additional actions directed to increase in energy efficiency, the credit and grant funds of the World Bank raised within the following projects:

(a) the projects corresponding to the principles of energy efficiency and carbon neutrality within the Development of Rural Infrastructure and Complex Development of the Average Cities projects;

(b) projects on increase in energy efficiency on objects of the social sphere within the "Net Energy for Buildings in Uzbekistan" project (CEBU);

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