World Banks approves $350 million for Tajikistan’s hydropower plant

The World Bank approved Tuesday a $350 million International Development Association (IDA) grant as part of the first phase of a program to help Tajikistan finance the completion of the Rogun Hydropower Plant Project.

The Rogun Hydropower Plant, will require $6.29 billion to complete, which will be financed by project revenues, domestic resources and development partners.

The plant, with a planned capacity of 3,780 megawatts, aims to provide enhanced electricity access to around 10 million individuals in Tajikistan and address the frequent power shortages experienced during winter, the bank said.

In addition, approximately 70% of the electricity produced by the Rogun plant will be exported to Kazakhstan and Uzbekistan, substituting fossil fuel generation at an affordable price and reducing greenhouse gas emissions.

‘The Government of Tajikistan has committed to allocate 3% of electricity sales to a nationwide Benefit Sharing Program (BSP) to finance pro-poor social support and augment social safety nets during the construction period, which will increase to 5% after the end of construction,’ the World Bank said in the statement.

‘The Rogun Hydropower Project can help Tajikistan and countries in Central Asia to accelerate their path to adopting clean energy, boost economic growth, and enhance climate resilience,’ the World Bank Vice President for Europe and Central Asia, Antonella Bassani, said.

‘Once the project is completed, households and businesses will be able to rely on much needed uninterrupted, affordable, and clean energy supply. The World Bank brings substantial knowledge and experience to a project of this scale, from economic reforms to implementing large infrastructure under robust environmental and social standards,’ Bassani added.

• BSP
• International Development Association
• Rogun Hydropower Plant Project.
• World Bank