Tashkent, Uzbekistan (UzDaily.com) -- As part of the Innovative Carbon Resources for Energy Reforms (iCRAFT) project, the World Bank transferred the first tranche of US$7.5 million to Uzbekistan. These funds are intended to finance reforms, including mitigating the effects of tariff changes for electricity and support for vulnerable groups.

The first tranche is a grant to reduce greenhouse gas emissions, which will subsequently be returned to Uzbekistan as part of the modeling of international greenhouse gas trade.

The iCRAFT project is the world’s first global initiative to support energy reforms, implemented in Uzbekistan with the participation of the World Bank. It aims to reduce greenhouse gas emissions and begin trading some of them on international markets.

The allocated funds will be used to accelerate the republic’s transition to a green economy, create a system for monitoring greenhouse gas emissions, support the activities of new agencies and organizations regulating the energy market, introduce institutional reforms, as well as implement pilot projects to install solar panels and improve energy efficiency in the country.