The profile committee of the Jogorku Kenesh approved the draft agreement on the reconstruction of the HPP Lebedinovskoy

During the meeting of the Committee of the Jogorku Kenesh for Kyrgyzstan on the energy and energy complex, the use of the subsoil and the industrial policy, the question “On the draft of the grant agreement between the Kyrgyz Republic, the company joint-stock company “Chakan HES” and the European Bank for Reconstruction and Development and the draft credit agreement between the Kyrgyz Republic and the European Bank was considered reconstruction and development within the framework of the project “Reconstruction of Lebedinovskoy HPP” .
Information on this issue was presented by the Minister of Energy of the Kyrgyz Republic Taalaybek Ibraev. According to him, Lebedinovskaya HPP was put into operation in 1948. The installed capacity is 7.6 MW. The CHE consists of two hydraulic units that have reached the end of their service life, which creates an urgent need for reconstruction and modernization.
“The total cost of the project is 13.8 million euros, of which 8.8 million euros in the form of loans and 5 million euros in the form of investment grants. The duration of the loan is 15 years , the grace period is 4 years, the interest rate is 1% + 6-month Euribor rate”, specified the speaker.
During the discussion, the members of the committee stressed the need for the development of small hydroelectricity, as well as the comprehensive use of renewable energy sources in order to ensure the energy security of the country.
MP Zhenishbek Toktorbaev, speaking about the need for targeted use of the allocated funds, noted that 13.8 million euros are huge funds, and the reconstruction of the Lebedinovskoye hydroelectric power station can be implemented for an amount lower, and he offered to direct the money freed up into preferential loans to producers of small HPPs. “Currently, entrepreneurs are forced to take loans at 7-8% in dollars and 23% in soms. High rates increase the risk of bankruptcy, which scares businessmen who were promised support from the state for the contribution to the elimination of the electricity deficit,” said J. Toktorbaev.
MP Mirlan Samyikojo noted that the majority of foreign loans are for the development of the energy sector and the transport network and called on the Ministry of Energy, as the body responsible for the implementation of the project , to pay particular attention to the effective use of credit funds. MP Marat Murataliev added that it is necessary to build capacities that do not depend on hydrological conditions so that Kyrgyzstan’s energy sector is ready for the most demanding winter.
In addition, MP Alisher Kozuev raised the issue of loan repayment terms. T. Ibraev explained that this indicator is about 7-8 years. In turn, MP Kunduzbek Sulaimanov stressed the need to introduce additional generation capacities to meet national needs and export electricity.
At the end of the meeting, the chairman of the committee, Azizbek Tursunbaev, stressed the responsibility of the Ministry of Energy for the implementation of the project in strict compliance with the established schedule of work.
At the end of the discussion, the members of the committee approved the draft Agreement, taking into account the suggestions and comments of the deputies.
In addition, information was heard at the meeting “On the implementation of the resolution of the Supreme Council of the Kyrgyz Republic of June 29, 2022 No. 378-VII “On the approval of the issuance of new shares to the open shareholding company “Electric Stations” and the open joint-stock company “National Electric Network of Kyrgyzstan””.