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Economy 03/01/2025 Uzbekistan reduces increased tariffs for entrepreneurs exceeding energy and gas consumption limits

Uzbekistan reduces increased tariffs for entrepreneurs exceeding energy and gas consumption limits

Tashkent, Uzbekistan (UzDaily.com) — In Uzbekistan, the increased tariffs on electricity and gas for entrepreneurs who exceed established consumption limits have been reduced.

This decision is outlined in a Cabinet of Ministers’ resolution from 27 December 2024, aimed at encouraging the use of renewable energy sources and implementing tariff reforms.

Under the new changes, businesses will be able to continue paying for electricity and gas at the base tariff if their consumption exceeds the limit by up to 20%. If the limit is exceeded by more than 20%, the payment will only increase by 20% of the base tariff.

Previously, regulations set by a Cabinet of Ministers’ resolution from 31 May 2024 required legal entities to pay electricity at double the tariff if they exceeded the limit by 10% of the volume specified in their contract.

In August 2024, President of Uzbekistan Shavkat Mirziyoyev expressed dissatisfaction with the existing double tariffs during a meeting with entrepreneurs, emphasizing their negative impact on the development of the industry.

As a result, the president instructed the government to take steps by 1 November to ease conditions for entrepreneurs, including increasing contractual limits on energy resources and simplifying prepayments for electricity and gas.

Additionally, it was proposed that businesses ranked as "high" and "medium" in the entrepreneurial rankings should be given the option to pay for electricity in two installments over the month and allowed to settle utility payments even with outstanding collection orders. However, these initiatives were not included in the regulatory acts.

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