- The project involves 1,000 MW solar power and 1,336 MWh battery storage in Samarkand and Bukhara.
- Construction is scheduled to complete post-2027 with a 25-year power purchase agreement.
- Financing involves Japan Bank for International Cooperation, Asian Development Bank, and others.
- Uzbekistan aims for 30% renewable energy by 2030 to reduce natural gas dependency.
Project Overview
Sumitomo Corporation, in collaboration with ACWA Power, Shikoku Electric Power, and Chubu Electric Power, has signed project financing agreements for a solar power and battery energy storage project in Uzbekistan. The project will generate 1,000 MW of solar power and include battery energy storage systems with a total capacity of 1,336 MWh, located in the Samarkand and Bukhara regions.
Financing and Construction
The financing involves a consortium of banks, including the Japan Bank for International Cooperation, Asian Development Bank, European Bank for Reconstruction and Development, and Islamic Development Bank. Private financial institutions' contributions will be covered by Overseas Untied Loan Insurance from Nippon Export and Investment Insurance. Construction is expected to be completed after 2027, with all electricity generated sold to Uzbekistan’s state-owned JSC National Electric Grid under a 25-year power purchase agreement.
Renewable Energy in Uzbekistan
Uzbekistan, historically reliant on natural gas for 80% of its electricity, is shifting towards renewable energy to meet growing demand and reduce gas dependency. The government aims to increase renewable energy to 30% of total power generation capacity by 2030, leveraging the country's high solar irradiation. Battery energy storage systems will help stabilize the power grid by storing electricity and adjusting supply to meet demand fluctuations.
Sumitomo Corporation's Role
Sumitomo Corporation's renewable power generation capacity reached approximately 2 gigawatts by March 2025, supported by projects like the Amunet Wind Power Plant in Egypt. The company will continue to contribute to Uzbekistan's energy transition through its expertise in solar and wind power projects.
