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10 trillion tenge will be invested in Kazakhstan power energy by 2030

14 march 2012, 16:11
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©RIA Novosti/Aleksei Malgavko
©RIA Novosti/Aleksei Malgavko
9.5 trillion tenge ($64.2 billion) will be invested into Kazakhstan's power energy, Tengrinews.kz reports citing Kazakhstan Minister of Industry and New Technologies Asset Issekeshev as saying the the government meeting on development of power energy sector in Kazakhstan.

"The investments for the period of 2012-2030 are estimated at 9.5 trillion tenge. Investments into power generation will make 5.5 trillion tenge ($37 billion), another 1.4 trilion tenge ($9.5 billion) will be spent on the networks and 2.5 trillion tenge ($16.9 billion) are planned for regional energy companies," Issekeshev said.

185 billion tenge ($1.3 billion) are to be spent in 2012. The master-plan of the industry development until 2030 has been prepared. It provides for creation in Kazakhstan of an effective, balanced and high-tech intellectual energy system that will meet the global challenges and ensure ecological safety based on power-efficiency and power-saving principles. Issekeshev said that the main amount of funding will remain in the country in long-term orders to local companies. He also gave the details of the financing methods.

"There will be loans and own funds in power generation. They will be recovered through the power market. Certain projects will have budget coverage under specific decisions of the government. The loans and own funds will be used for power networks as well. They will be recovered through the investment component of the rates, as well as via budget transfers," he explained.

The main objective of the industry development plan will be to modernize and reconstruct the existing generating capacities and construct new ones. Power network facilities will be modernized and reconstructed. Construction of new networks and supporting facilities is planned as well.

The Minister said that implementation of the program would enable Kazakhstan to generate 150 billion kilowatt-hours of energy, in case of coal production of 155 million tons a year by 2030. As per the government's planed, the share of renewable energy sources would go up to 10 percent.

"Power consumption by this time will make 144.7 billion kilowatt-hours. But without energy efficiency program power consumption will make not 144 billion, but 170 million kilowatt-hours. We are saving 26 billion kilowatt-hours," Issekeshev said.

According to the Ministry, construction of high-voltage lines (500 kW) is planned to improve the connection between western and eastern regions of Kazakhstan via common power system. It is needed for better transfer of capacities of new major power stations to the regions that face a deficit of power. In particular, the plan is to gradually implement the project of construction of high-voltage line North-East-South. A new line that will replace the existing 220 kW one will be constructed in the west of the country.

Four projects with totally worth 97 billion tenge ($655 million) are currently being implemented. They include Moinak Hydro Power Station, modernization of the national power network (second stage), construction of high-voltage 500 kW Alma with connections to Kazakhstan national power network via 500 and 200 kW lines, as well as reconstruction of 220 kW line in Osakarovka power station.

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