Nukus 2 Wind and Battery Energy Storage Project Gains Approval

Strategic Insights -

The Asian Development Bank (ADB) has approved a $87.5 million loan for the Nukus 2 Wind and Battery Energy Storage Project, which aims to increase the supply of renewable energy in Uzbekistan while reducing greenhouse gas emissions and enhancing energy security. The project involves the construction of a 200 MW wind power plant and a 100 MWh battery energy storage system, as well as evacuation infrastructure consisting of a 44 km overhead transmission line and the expansion of the 220 kV switchyard and Beruniy substation.

Key Takeaways:

  • The project aims to increase the supply of renewable energy to replace fossil fuel energy sources, reducing greenhouse gas emissions and enhancing energy security.
  • The project will involve the design, construction, operation, maintenance, and eventual transfer or decommissioning of a 200 MW wind power plant and a 100 MWh battery energy storage system.
  • The project also includes the design, construction, and transfer upon commissioning of evacuation infrastructure, consisting of a 44 km overhead transmission line and the expansion of the 220 kV switchyard and Beruniy substation.
  • The project is aligned with Uzbekistan's Country Partnership Strategy 2024-2028, which supports the acceleration of the green transition in energy and other sectors.
  • The project is consistent with ADB's Energy Policy, which emphasizes promoting renewable energy, maximizing access to energy for all, and private sector participation to enhance energy sector efficiency.
  • The project sponsor is ACWA Power Bash Wind Foreign Enterprise Limited Liability Company.
  • The project will have a significant impact on Uzbekistan's energy sector, enabling the country to transition to a more sustainable and efficient energy mix.

Statistics:

  • The project involves a total investment of $87.5 million, comprising a $40 million loan from the Asian Development Fund (ADF) and a loan of $40 million and a guarantee of $7.5 million from the Leading Asia's Private Sector Infrastructure Fund 2.
  • The project aims to reduce greenhouse gas emissions by 240,000 tons per annum, equivalent to the emissions from about 45,000 vehicles.
  • The project is expected to generate 852 GWh of electricity per annum, meeting the energy needs of approximately 135,000 households.
  • The project will create employment opportunities for local residents, both during construction and operation.

Sources:

  • Asian Development Bank. (n.d.). Nukus 2 Wind and Battery Energy Storage Project. Retrieved from
  • Uzbekistan Country Partnership Strategy 2024-2028. (2022). Retrieved from
  • Asian Development Bank. (n.d.). Energy Policy. Retrieved from