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Economy 11/09/2024 Ministry of Energy: Mandatory installation of solar panels is unacceptable

Ministry of Energy: Mandatory installation of solar panels is unacceptable

Tashkent, Uzbekistan (UzDaily.com) —  The Ministry of Energy of Uzbekistan has refuted claims about the mandatory installation of solar panels for entrepreneurs.

The Ministry emphasized that recent weeks have seen reports on social media and news sites suggesting that some entrepreneurs are being forced to install solar panels, with claims that responsible organizations are threatening to cut off their electricity supply if they refuse. The Ministry has clarified the situation.

According to the Presidential Decrees of the Republic of Uzbekistan dated February 16, 2023, and June 14, 2024, measures are indeed provided to accelerate the adoption of renewable energy sources and energy-efficient technologies, including promoting the installation of solar panels and water heaters. However, mandatory installation of panels and threats of disconnection are not prescribed by law, and the Ministry of Energy does not support such actions.

The Ministry noted that the number of companies importing solar panels and components is increasing. Over the past eight months, more than 1.5 million panels were imported from 107 companies, 64 of which started operations this year. Nearly 7,000 inverters were also imported. This has led to a reduction in the prices of solar panels by more than 30%. For example, the average price of a 1 kW panel decreased from 10 million soums in September 2023 to 7-9 million soums this year, the Ministry reported.

Some claim that the import of solar panels is controlled by a few organizations. The Ministry of Energy states that it does not manage this process.

According to the Ministry, the prices of solar panels have decreased compared to last year. In September 2024, the cost of a 5 kW panel was 35 million soums for on-grid systems and 45 million soums for off-grid systems, compared to 50 million and 65 million soums, respectively, in 2023. This is due to the competitive environment and a decrease in the prices of raw materials in China.

Since 1 October 2023, tariffs for energy resources have been increased on a tiered system for legal entities and entrepreneurs, and from May 1, 2024, for household consumers. This has heightened interest in solar panels and collector systems.

As of 1 August 2024, under the "Solar Home" program, 13,324 contracts for the installation of solar panels with a total capacity of 44,516.4 kW for household consumers and 8,776 contracts with a total capacity of 197,201 kW for legal entities have been concluded. All these installations were carried out voluntarily.

The Ministry of Energy emphasizes that it does not support mandatory installation of solar panels.

However, the Ministry added that if entrepreneurs see benefits from installing panels for their business, it would be advantageous. The market offers both supply and demand for these products.

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