The only electricity generating facility in northern Tajikistan built in 1957, the Qairokkum hydropower plant supplies energy to over 500,000 homes in the Sugd region.
Under the Climate Investment Funds (CIF), the Pilot Program for Climate Resilience (PPCR) will also provide $21m, including a $10m loan and $11m grant, for the project.
The remaining $ 4.7m includes additional donor financing provided by the governments of Austria and the UK, and the EBRD’s Shareholder Special Fund for consultancy services.
In addition to helping in improving power distribution in Sugd, the Qairokkum power plant modernization first phase will increase the plant’s current capacity from 126MW to 142MW with the installation of two new and larger turbines.
Tajik Finance Minister Abdusalom Kurbonov said: "The collaboration between our country and the EBRD has been developing strongly over the past few years. EBRD support is very important for our economic development."
EBRD Energy and Natural Resources in Russia and Central Asia director Aida Sitdikova said: "We are very pleased to support the government of Tajikistan with the restructuring and rehabilitation of a key hydro asset.
"The Qairokkum hydropower plant is strategically important as it is the sole power generation facility in Sugd, the second largest industrial region in the country. The upgrade will significantly improve the supply situation, especially in the winter."
