Namangan experiment linking tax debt to electricity payments won’t affect low-income households – Tax Committee

Experiment to link tax debt and electricity billing

From April 16, Namangan region will begin an experimental program using the electricity billing system to manage the collection of property and land taxes for individuals whose total debt exceeds UZS 1 million. The initiative aims to test a staged approach to encouraging payment without immediately disconnecting electricity.

The committee stressed that claims circulating on social media, suggesting that electricity would be cut off even if subscribers have a positive balance, are false.

Protection for vulnerable groups

Restrictions on electricity payments will not apply to:

• Individuals with disabilities (groups 1 and 2)
• Families who have lost a primary caregiver
• Citizens registered in the social protection system
• Other legally designated privileged categories

According to official data, as of now, 45,800 individuals in Namangan region have tax debts exceeding UZS 1 million, representing 8 percent of the region’s 531,200 taxpayers. It is not specified how many of these belong to the exempted groups.

Gradual approach and potential nationwide rollout

Under the experimental system, individuals will receive multiple warnings before any temporary restrictions on electricity payments are applied. The results of the Namangan experiment will inform proposals to the Cabinet of Ministers by October 1, 2026, on whether to implement the system in other regions.

The committee noted that, under current legislation, individuals with tax debts exceeding UZS 1 million may still face legal enforcement, which could result in additional state fees and collection costs.

Broader context

Since 2025, residents with unpaid utility debts have been restricted from paying for electricity in certain cases. Starting July 1, 2026, property owners who do not pay monthly housing fees (“kvartplata”) by the fifteenth of each month will also face temporary restrictions on electricity payments.

Linking outstanding debts to electricity payments for waste services is already legally established. However, extending this mechanism to tax and housing debts has not yet been incorporated into the law.