WASHINGTON: The World Bank on Thursday approved the Regional Electricity Market Interconnectivity and Trade (REMIT) Program, a landmark initiative designed to deepen energy cooperation among Central Asian countries and strengthen regional electricity security, affordability and sustainability.
The multi-phase, decade-long program — with indicative financing of $1.018 billion — aims to establish Central Asia’s first integrated power market, increase electricity trade, expand transmission infrastructure and lay groundwork for large-scale renewable energy integration.
Under the first phase, the Kyrgyz Republic, Tajikistan and Uzbekistan, along with the Central Asian Countries’ Coordinating Dispatch Center (CDC) Energia, will benefit from about $143.2 million in grant and concessional financing, including $140 million from the World Bank’s International Development Association and $3.2 million from the Central Asia Water and Energy Program.
Electricity demand in the region is projected to nearly triple by 2050 as economic growth, urbanisation and industrial activity expand, yet electricity trade currently represents only about 3 % of total demand. The REMIT Program aims to lift trade to at least 15,000 GWh annually over the next decade, more than triple transmission capacity to 16 GW and enable up to 9 GW of clean energy resources.
World Bank officials said the initiative will reduce outages, lower energy costs for households and businesses, and unlock private investment, while supporting jobs in construction and skilled power-market operations.
The first phase is expected to catalyse about 900 MW of new clean energy capacity and leverage roughly $700 million in private investment, setting the stage for broader regional integration in future phases.
Energy ministries and national grid operators from participating countries will steer implementation with CDC Energia coordinating cross-border market and institutional activities.