The government of Tajikistan is negotiating to raise funds for the implementation of the Rogun project, the country’s Finance Minister Fayziddin Kakhkhorzoda said on February 14 at a press conference in Dushanbe.
In particular, he noted, such work is being carried out with the Italian government, the European Investment Bank, the Abu Dhabi Development Fund, the Asian Development Bank and other potential financial donors.
According to the minister, agreements have already been signed to finance the completion of Rogun with some international donors and agencies for a total amount of $812 million, of which $462 million are loans and $350 million – grants.
Kakhkhorzoda noted that all attracted loans are highly preferential and long-term – from 25 to 30 years.
The minister expressed confidence that after the implementation of the Rogun project, these funds will be returned to creditors on time.
Let us recall that in his last message to parliament, President of Tajikistan Emomali Rahmon said that the government is taking constant measures using all sources to timely finance this important strategic facility.
«In this context, effective cooperation is being carried out with a number of international financial organizations and development partners to attract preferential funds in the amount of 33 billion somoni, or $3 billion, including 12.5 billion somoni of grants, or $1 billion 150 million», – the message notes.
It emphasizes that by the end of 2024, agreements have been signed with six organizations in the total amount of 10 billion somoni (about $1 billion), including 3.8 billion somoni of grants, and investment on their part will begin in 2025.
The message says that over the past two years, more than 9 billion somoni (about $830 million) have been allocated from the state budget for the completion of Rogun.
In general, more than 40 billion somoni (about $4 billion) were allocated for the completion of Rogun, including through the sale of shares of OJSC «Rogun HPP» (890 million somoni), Eurobonds ($500 million), and the rest – from the state budget.
To fully complete the Rogun hydroelectric power station project for the period until 2035, $6.4 billion is needed. This is stated in the Justification of the sovereign rating of Tajikistan by the international rating agency Standard & Poor’s Global Ratings.
Let us recall that earlier the president announced that the next hydraulic unit of the Rogun hydroelectric power station is planned to be put into operation in 2025. The first two units of the station, which are currently operating at low power, were put into operation in 2018 and 2019.
In total, 6 units with a capacity of 600 MW each will be installed in the station’s turbine room. The launch of the last unit is expected in 2029. With an installed capacity of 3,600 MW, Rogun Hydroelectric Power Station is expected to become the largest hydroelectric power station in Central Asia. Once fully operational, annual electricity generation will range from 13 to 17 billion kWh, which is equivalent to 65-85% of the country’s annual electricity generation.
Pairav Chorshanbiev (Asia-Plus)
