Tajikistan to Export Rogun Hydropower to Uzbekistan at 3.4 Cents per kWh

Tajikistan and Uzbekistan have agreed to a new phase of energy cooperation, which will involve the export of electricity from Tajikistan's Rogun Hydropower Plant (HPP) to Uzbekistan at an initial price of 3.4 US cents per kilowatt-hour.

The price, which includes a zero-rated VAT, will increase by 1% annually starting in the second year of supply. Deliveries are scheduled primarily during periods of planned shortages in Uzbekistan’s energy system and will follow an approved schedule coordinated by the countries’ respective system operators, The Caspian Post reports citing foreign media.

The volume and technical details of the supply arrangement will be formalized in a separate electricity purchase agreement between Rogun HPP and Uzbekistan’s Uzenergosotish company. Electricity will be transmitted via interstate power lines, supplementing ongoing exports from Tajikistan’s national utility Barki Tojik.

Regional Energy Integration

The Rogun HPP, a key component of Tajikistan’s long-term energy strategy, is also drawing interest from Kazakhstan, which recently announced its intent to purchase electricity from the plant. The price for Kazakhstan is likewise set at $0.034 per kWh, excluding VAT, and subject to an additional transit fee based on seller-incurred costs. Payments are to be made within 35 days of each delivery period.

During the plant’s current construction phase, electricity exports will occur only during the vegetation season (April 1 to September 30). Once Rogun reaches full operational capacity, deliveries will expand to year-round.

Agreement Terms and Project Outlook

The bilateral agreement will enter into force once both governments complete their domestic legal procedures and confirm implementation via diplomatic channels. The initial agreement term is 20 years, with automatic 10-year extensions, unless one party opts out by notifying the other at least six months prior to expiration.

Tajikistan has exported electricity to Uzbekistan every summer since 2018, strengthening energy ties in a region historically marked by infrastructure fragmentation.

Upon completion, Rogun HPP will be the largest hydropower facility in Central Asia, with an installed capacity of 3,780 megawatts (MW) and estimated annual output of 14.4 billion kWh.

Currently, two of the plant’s six turbines are operating at partial capacity, having come online in 2018 and 2019. Full commissioning of the sixth unit is expected by 2029. In 2024, Rogun generated 1.22 billion kWh, contributing 5.5% of Tajikistan’s total electricity production, according to the Ministry of Energy.