EBRD Provides 102 Billion Tenge for Alatau Zharyk Grid Modernization
The European Bank for Reconstruction and Development (EBRD) will provide a long-term loan of up to 102 billion tenge (US$224.2 million) to Alatau Zharyk Company (AZhC) to modernize its electricity distribution infrastructure and expand digital technologies.
The financing will support the procurement of automated metering and telemechanic equipment, as well as upgrades to AZhC’s low- and medium-voltage electricity transmission and distribution infrastructure, according to the EBRD’s press service.
AZhC supplies electricity to around 4 million people and approximately 50,000 commercial consumers in Almaty and the surrounding region. The project is being implemented as part of Kazakhstan’s National Project for the Modernization of Energy and Utility Sectors (MEKS), a government program aimed at upgrading heat, electricity, water supply and sewerage infrastructure.
The investment will also support the digital transformation of AZhC through the installation of smart meters at substations and the piloting of smart grid technologies. In addition, the project will strengthen the company’s cybersecurity and support related measures at its parent company, Samruk-Energy.
The modernization is expected to generate annual electricity savings of approximately 22 gigawatt-hours (GWh) and reduce CO2 emissions by around 12,000 tons per year. The project is also expected to support the development of renewable energy in the Almaty Region.
Under the five-year enhanced partnership framework between Kazakhstan and the EBRD, the project will contribute to the development of Alatau city through the reconstruction of the Zhetygen electricity substation and an associated 110-kilovolt (kV) transmission line.
The EBRD has invested almost US$13.6 billion in Kazakhstan through 358 projects, making the country the largest and longest-running recipient of EBRD investment in Central Asia.
Photo credit: EBRD
