Today, a significant event took place for the energy sector of Kazakhstan: a loan agreement was signed between the system operator of Kazakhstan,  KEGOC, and the European Bank for Reconstruction and Development (EBRD), as well as an agreement on opening a credit line between  KEGOC and the Development Bank of Kazakhstan.
These agreements are aimed at implementing the important West Kazakhstan Electricity Transmission Interconnection Project. Construction of power grid facilities.
The total amount of the two loans is approximately KZT141 billion, of which up to KZT 32 billion is expected to be attracted from the Development Bank of Kazakhstan. These funds will be used for the construction and modernization of power grid facilities, which will improve the reliability and efficiency of energy supply in the region. The EBRD's financial support also includes a €15 million soft loan from the Canadian government under the programme High Impact Partnership on Climate Action.
The interconnection of the Western Zone with the main part of the Unified Energy System of Kazakhstan across the territory of the republic will ensure energy security for the western regions of the country, and will also allow the use of flexible generation in the Western Zone to compensate for imbalances in electricity and capacity in the Northern and Southern zones of the energy system. The transmission capacity of the Western Zone will be increased to 500 MW.
The investment project is being implemented within the framework of the order of the President of the Republic of Kazakhstan Kassym-Jomart Tokayev on strengthening the Southern zone of the electric power system, developing a scheme for strengthening transit links between the Western regions with subsequent interconnection with the unified power system of Kazakhstan.
The project includes the construction of a 500 kV Karabatan -  Ulke transmission with a length of 604.3 km, the rehabilitation and expansion of the 500 kV Ulke substation, as well as the construction of a 500 kV outdoor switchgear at Karabatan distribution. The project completion date is December 2027.
It is noted that the European Bank for Reconstruction and Development positively assessed the transparency of procurement policy of  Samruk-Kazyna fund, which helped strengthen the trust of international partners and investors. This confirms the high level of openness and professionalism, ensuring the successful implementation of large infrastructure projects in Kazakhstan.
The loan agreement with the EBRD will enter into force on 20 December 2024, subject to corporate decisions.
Commenting on the signing of the agreement, Chairman of the Management Board of Samruk-Kazyna, Nurlan Zhakupov, noted: “The European Bank for Reconstruction and Development and the Development Bank of Kazakhstan have demonstrated their commitment to supporting significant projects in Kazakhstan for many years. We are grateful to our partners for the financial and expert support not only of this project, but also of the project to build the second 500 kV North-South transit line and a number of other infrastructure initiatives that contribute to the sustainable development and modernization of key sectors of the economy."
KEGOC representatives expressed gratitude to the EBRD and the Development Bank of Kazakhstan for their support and trust, noting that the implementation of this project will be an important step towards achieving sustainable development goals and modernizing Kazakhstan’s energy infrastructure.
More information about cooperation with the EBRD can be found at the link: https://www.kegoc.kz/ru/press-center/mass-media-about-the-company/164839/