Kyrgyzstan - Country Commercial Guide
Kyrgyz Republic - Energy
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Leading Sub-sectors


The Kyrgyz Republic possesses tremendous hydropower potential, up to 142 billion kWh, of which only 10 percent has been tapped in installed capacity. Hydropower accounts for the overwhelming majority of electricity produced in the Kyrgyz Republic (nearly 90 percent). Small hydropower plants are being constructed across the country and the government continues to seek investors for these projects.

Solar and Other Renewable Energy Sources (RES)

Solar and other RES such as geothermal and biomass are nascent markets but there is demand for technology and expertise to develop them. Researchers have determined there is potential for solar energy in the Kyrgyz Republic. The country’s geography and climate favor solar energy: 94 percent of the territory is highlands with altitude varying from 800 to more than 4,000 meters above sea level, with an annual average of 260 sunny days. In addition, solar radiation intensity is considered high. A few projects to develop geothermal energy from Issy-Kul lake have also begun. See Opportunities section below for further details.


Electric vehicles are gaining in popularity in the Kyrgyz Republic, both with individuals and the public sector. See Opportunities section below for further details.


The Kyrgyz government seeks to attract industry leaders with deep experience and technical know-how to improve the country’s energy infrastructure. To encourage investment in hydropower infrastructure, the government exempts renewable energy companies from VAT when importing equipment and offers power purchasing agreements for electricity generation. Capital, expertise, studies, and equipment are all needed to develop solar, wind, geothermal, and biomass energy sources. Major capacity generation projects financed in large part by international finance institutes (IFIs) offer an opportunity for private foreign companies to enter and compete in the Kyrgyz hydropower market. The Kyrgyz government awarded a turn-key contract in 2018 for the Asian Development Bank-supported modernization of the Toktogul HPP to a joint venture of GE Hydro (France) and GE Renewables (Switzerland). Targeted opportunities also exist for firms that provide niche engineering services and other support to the hydropower sector. On July 2, 2022, the president signed the law on Renewable Energy[1], which establishes the legal, organizational, economic, and financial framework and mechanisms for regulating relations between the state, producers, suppliers, and consumers of renewable energy sources.

For e-vehicles, opportunities include the provision of the vehicles themselves as well as the construction of the necessary charging infrastructure around the country. Currently, e-vehicles are concentrated in the capital city of Bishkek, with very few charging stations available. The government is also interested in incorporating e-vehicles into its fleets, and the city of Bishkek has already ordered electric buses.