A waste-to-energy plant worth $100 million will be built in Khorezm
South Korea's Green Hammer will invest $100 million in the construction of a waste-to-energy plant in the Khorezm region. The enterprise will be able to process 800 tons of waste per day and generate 71 million kWh of electricity. The project is planned to be implemented in 2026–2028.
In Khorezm, there are plans to build a waste-to-energy plant worth $100 million
In the Khorezm region, there are plans to build a facility for generating electricity from municipal solid waste worth 100 million dollars. This is provided for by a decree of President Shavkat Mirziyoyev dated September 14.
The investor will be the South Korean company Green Hammer Co., Ltd. The plant will be able to process 800 tons of waste per day and generate 71 million kWh of electricity.
The project is planned to be implemented in 2026–2028. To this end, the Korean investor will establish a foreign enterprise in Uzbekistan — a project company.
On September 14, an investment agreement was signed between Green Hammer and the Government of Uzbekistan, represented by the Ministry of Investment, Industry and Trade. Earlier, on September 11, the investor concluded agreements with Uzenergosotish on the purchase of the generated electricity and with the Agency for Waste Management and Circular Economy Development on the supply of municipal solid waste.
According to the decree, the project company will receive a guaranteed sale of the generated electricity to Uzenergosotish for 30 years. In turn, Uzenergosotish undertakes to purchase this electricity in the national currency for the same period.
The Waste Management Agency must guarantee the supply of the required volume of municipal solid waste to the enterprise, also for 30 years.
The investor is required to provide a first-class bank guarantee of 7 million dollars to ensure the fulfillment of the project company's obligations during the construction period.
The project company will also build, at its own expense, power transmission lines and other infrastructure necessary to connect the power plant to the unified power grid. After the facilities are commissioned, they will be transferred to the National Electric Grid of Uzbekistan.
The enterprise will be located in an eco-industrial zone specializing in waste disposal and recycling, or on the territory adjacent to it.
The Khokimiyat of the Khorezm region has been instructed to provide the Waste Management Agency with 15 hectares of land in the territory of the "Yangi Urtabog" mahalla citizens' assembly of the Urgench district within a month. The plot will be transferred under the right of permanent use to establish the eco-industrial zone.
The rent for the land plots provided to the project company and the National Electric Grid of Uzbekistan will be equal to the amount of the land tax.
After paying all taxes and fees, the project company will be able to open accounts in foreign banks, receive and use loans and foreign currency funds within the framework of project financing. It is also permitted to directly pay foreign contractors, suppliers, and creditors without routing payments through bank accounts in Uzbekistan.
For the foreign specialists involved, entry visas and work permits will be issued in accordance with the established procedure.
As a reminder, two of the six waste-to-energy plants in Uzbekistan are planned to be launched by the end of 2026. In parallel, the authorities presented five more projects worth 625 million dollars. The new enterprises will not only generate electricity from waste but also process the resulting ash.