Tajikistan Hands Kazakhstan Electricity Bill

Reports have surfaced on how much Kazakhstan will pay for electricity from the Rogun hydroelectric power station, which is currently being built in Tajikistan, Orda.kz reports.

The draft agreement on cooperation between the two countries in the electric power industry has been published on Tajikistan's official portal for legal information. 

It specifies that Kazakhstan will receive electricity from the Rogun HPP until at least 2044.

On the Kazakh side, the Financial Settlement Center for Support of Renewable Energy Sources LLP will implement the agreement.

The agreement also emphasizes that Kazakhstan will purchase energy from Tajikistan only during hours of planned deficit. Supplies will be included in the daily production consumption schedules approved by KEGOC. 

The contract is valid for 20 years and can be extended for another decade.

The Rogun hydroelectric power station will be responsible for electricity transit to the border. The fee for each kilowatt-hour will be $0.034 with zero VAT but with a surcharge for transit "based on the costs incurred by the seller."

Kazakhstan will be given 35 days for each billing period to pay for electricity from the Tajik hydroelectric power station.

If Kazakhstan and Tajikistan disagree on the terms, they will be resolved in the Singapore International Arbitration Court.

The Rogun hydroelectric power plant is one of the long-term energy projects in Central Asia. Construction began in 1976, but the first unit was launched only in 2018. Once completed, the Rogun dam will be the highest in the world (335 meters), and the hydroelectric power plant will be the largest in the region.

Meanwhile, some environmentalists suggest that the Rogun hydroelectric power station will remain unprofitable, and the construction costs will not be recoupable.

Original Author: Nikita Drobny