Colossal untapped potential
Tajikistan possesses huge reserves of hydropower resources, which are estimated at 527 billion kWh. in year. 95% of the economically viable hydropower potential has not yet been developed. In addition to hydropower, there is significant generation potential from wind, solar and other renewable energy sources.
The prospect of the development of high demand
Domestic and regional demand for electricity requires the construction of new and rehabilitation of existing generating facilities. Tajikistan is surrounded / bordered by countries with projected structural electricity shortages (Afghanistan and Pakistan) or expensive energy, which creates attractive export opportunities.
Electric power system
The electric power system of Tajikistan operates as a single system and connects four separate regions by geographic location (Sughd (North), Khatlon (South), Dushanbe and surrounding areas, and Regions of Republican Subordination (Districts of Republican Subordination).
The electricity sector is managed by the Barki Tojik Open Joint Stock Holding Company, which is state-owned. The enterprise controls power plants and grids, generation, transmission and distribution of electricity in the Republic, with the exception of the Gorno – Badakhshan Autonomous Region (GBAR). Since December 2002, the GBAR power supply network was transferred from the Barki Tojik company to the private company Pamir Energy on the basis of a 25-year Concession Agreement. At present, the GBAR power supply system operates in isolation, that is, it has no connection with the main EPS of the Republic of Tajikistan. Pamir Energy operates eleven small and mini HPPs with a total installed capacity of 44.16 MW and a 35/10 / 0.4 kV power transmission line with a total length of 2609 km.
The power of Tajikistan’s energy system is 5,757 MW, with hydroelectric power plants accounting for 87.6% of the total installed capacity. The share of thermal power plants is 718 MW, that is, only about 12.4%.
The average long-term electricity generation in the Tajik energy system, which consists mainly of hydroelectric power plants, is 17 billion kWh. It should be noted that more than 95% of the electricity generated in Tajikistan is obtained at hydroelectric power plants, including 94% at large and medium-sized ones.
Electricity generated at hydroelectric power plants is seasonal and depends on the flow of water in rivers. The lowest level of electricity generation is observed during the autumn-winter period (October to April / May), while the demand for electricity is highest during this period. At the same time, during the summer period, the power supply is the most reliable, because at this time of the year there is a surplus of electricity in the amount of 3-7 billion kWh.
Electricity generation in the Republic of Tajikistan for 2017.
name of company
Electricity generation (thousand kWh)
Total electricity generation in the Republic
OSHC “Barki Tojik”
OJSC “Pomir Energy”
Small hydroelectric power plants
OSHC “Barki Tojik”
The latest data on electricity consumption in various sectors of the economy of the Republic of Tajikistan shows that the main consumer of electricity in the country is the public utilities and makes up almost 47% of all electricity. The second largest electricity consumption is industrial enterprises, which consume 41.11%. Agriculture is in third place, using 16% of total consumption.
Electricity consumption of the Republic of Tajikistan for 2017.
Total Electricity Consumption of the Republic
(useful supply of electricity)
Favorable investment climate
Ensuring energy independence and achieving energy security is one of the strategic objectives of the Government of the Republic of Tajikistan. The government has adopted several laws to stimulate investment flows and create the most favorable investment environment. The Concept of Tariff Regulation, the methodology for calculating electricity tariffs was adopted, and a regulator in the energy sector is being created.
To stimulate the inflow of investments and create the most favorable investment environment, the laws of the Republic of Tajikistan “On Investment Agreements”, “On Concessions”, “On Public Private Partnerships”, “On Privatization of State Property of the Republic of Tajikistan”, “On Production Sharing Agreements”, “ On free economic zones ”and“ On credit histories ”.
In order to establish a favorable investment climate, a system of guarantees for investors and investment activities has been established, a unified regime has been created for both national and foreign investors, freedom of transfer of profits and other forms of income from investment activities is guaranteed, and much more. The legislation provides for a system of tax and customs preferences. Special benefits are provided for those investors who work in priority sectors of the country’s economy, especially in the construction of hydroelectric power plants.
Income tax exemption
- for 2 years with the volume of investments from 200 thousand to 500 thousand US dollars;
- for 3 years with the volume of investments from 500 thousand to 1 million US dollars;
- for 4 years with the volume of investments from 2 million to 5 million US dollars;
- for 5 years with an investment volume of more than 5 million US dollars;
Tax and customs benefits
- Machinery, equipment and its components for a hydroelectric power plant;
- Import of goods carried out for the implementation of targeted projects approved by the Government;
- Exemption from all taxes for the period of construction of hydroelectric power plants on the territory of the republic;
Investor’s legal status
- Equal rights for domestic and foreign investors;
- Protection of investors’ rights;
- The right to transfer income abroad in foreign currency;
- Free movement of property and information;
- Agreements on the promotion and mutual protection of investments with 36 countries;
- Favorable legal system for investors;
- Investment agreements;
- Partnership agreement;