Kambar-Ata-1: preparations for the construction of the HPP continue
The implementation of the strategic project for the construction of the Kambar-Ata-1 hydroelectric power station in Kyrgyzstan is entering an active phase. According to the Minister of Energy Taalaibek Ibrayev, the preparation of the updated feasibility study (feasibility study) is nearing completion, at the same time the necessary environmental and sociological studies are being carried out. In parallel, there is a process of forming an international consortium of investors to finance this large-scale energy facility.
The Minister of Energy of Kyrgyzstan calls the Kambar-Ata-1 HPP the largest national project of the country, which is being worked on intensively on the direct instructions of the President of the Kyrgyz Republic Sadyr Japarov. An important step was the support of the World Bank, which allocated funding for updating the feasibility study. This task is performed by the Swiss company Efri, and the updated document is expected by May of this year. Taalaibek Ibrayev explained that updating the feasibility study is a key condition for attracting investors, since any financing begins with studying this document, and since 2014, economic realities, including prices and the dollar exchange rate, have undergone significant changes.
Along with the economic assessment of the project, studies of its social and environmental impact are carried out. Opinion polls, according to the minister, demonstrate a high level of approval of the construction of hydroelectric power plants among residents of nearby areas – 97 percent of the population support the project. The environmental assessment is designed to carefully assess the potential impact of the future reservoir on the environment of the region.
To launch the construction of the Kambar-Ata HPP-1, it is necessary to conclude an intergovernmental agreement between the participating countries: Kyrgyzstan, Uzbekistan and Kazakhstan. The text of this important document is already being developed by the involved law firm, which creates a legal basis for trilateral cooperation within the framework of the project.
The total estimated cost of the construction of the Kambar-Ata-1 HPP is an impressive amount – about 3.5 billion US dollars. The World Bank expressed its readiness to consider the possibility of providing up to $1.5 billion. In addition, Kyrgyzstan, Kazakhstan and Uzbekistan jointly submitted a request for a loan of $ 500 million. Active negotiations on co-financing are also underway with other major international financial institutions, including the Asian Development Bank, the Islamic Development Bank and the European Bank for Reconstruction and Development.
Kyrgyzstan has already invested about 4 billion soms from the state budget in the preparatory stage. These funds were used to create the necessary infrastructure: the construction of an access road, a transport tunnel, which has already been completed, a bridge over the Naryn River (work is ongoing), as well as power lines and housing for future builders.
The Minister of Energy notes the unique advantage of the Kambar-Ata-1 HPP project compared to other large hydropower projects in the region, such as the Rogun HPP in Tajikistan. He emphasizes that in the case of “Kambar-Ata-1” there is no problem of mass resettlement of residents, since the lands intended for construction and the reservoir are already owned by the state company “Electric Stations”.
The project plans also include measures to support the local population. It is assumed that 1 percent of all electricity generated by the new HPP will be directed to the needs of nearby villages. The possibility of organizing training programs for local residents is being considered so that they can get qualified and work at energy facilities under construction and future.
