There Is an Energy Crisis in The Country – Minister Akchulakov

Orignal Author: Nikolai Zhdanov

Energy Minister Bolat Akchulakov admitted that there is an energy crisis in the country. This, however, has not been "officially" mentioned anywhere before.

The reason for the crisis is the obsolescence of systems and low rates of modernization. This has led to a shortage of electricity. The shortage goes back to 2021. Kazakhstan has started to face the need to dispose of equipment from domestic energy sources more often.

Compared to 2021, the number of emergency stops increased by 22%, while at length by 16%. The depreciation of generating capacities is currently 60%. The figure has not increased in size since 2020, but it has not decreased either. Surprisingly, the above 60% has been appearing in the releases of officials and managing directors of domestic energy companies since 2008.

This begs the question: why has the government not made any attempt to rectify the situation in 14 years?

Apparently, to solve the problem and fulfil the instructions of the president, Bolat Akchulakov added that the "Tariff in exchange for investment" program would come into play.

"This situation, against the background of the recorded record growth in consumption, threatens the energy security of the country. At the same time, the deficit that arose earlier was covered by the "Tariff in exchange for investment" program in force from 2009 to 2015 with the introduction of marginal tariffs for electric energy.

During the above period of time, a medium-term capacity reserve was created by commissioning 1.2 GW of new capacity and restoring 1.7 GW of capacity," the minister concluded.

In his September address to the people, President Toqaev criticized the energy sector, saying that two-thirds of the country's electricity supply networks are worn out.