"Heating supply prices in Tashkent will increase 4 times in 2 years, but this is not enough" - Kuchkarov

Heating supply prices may continue to rise in the coming years. This was mentioned by Deputy Prime Minister and Minister of Economy and Finance Jamshid Kuchkarov during a speech at a plenary session of the Senate.

"The issue of heating supply is more complex. We have a significant disparity in tariffs. For instance, Tashkent has one rate, while Bukhara or Fergana has a different one. Moreover, there are certain technological issues in this sector. For example, the installation of meters is a challenge because measuring heat consumption itself is a significant problem. The systems of boiler houses and delivery networks are also very outdated. They are based on Soviet-era technologies, which are inefficient and consume a lot of gas, with a low gas utilization efficiency.

Recently, the Tashkent City Council decided to increase tariffs twice next year. However, even this, as we stated, will not be enough to cover the costs. To be honest, no matter how large the Tashkent city budget is, we still have to allocate subsidies for heating from the state budget to the city.

If you ask where the reforms in the energy sector will lead, they will conclude with the formation of retail and wholesale markets for electricity and gas. At that point, there will be no need for the state budget to subsidize this sector," Kuchkarov explained.

It is worth noting that in April this year, prices for centralized heating services in Tashkent were increased by 15%, and in October, they were raised by another 15%. Currently, households are paying 121,617 UZS per 1 Gcal, while other wholesale organizations are paying 244,497 UZS.

For reference, the draft Budget Law for 2025-2027 includes plans to allocate 4.2 trillion UZS from the budget to cover losses incurred in supplying heat to the population at reduced rates.