On Wednesday, the Mazhilis adopted the law "On Ratification of the Agreement between the Government of the Republic of Kazakhstan and the Government of the Russian Federation on Measures to Ensure the Parallel Operation of Unified Energy Systems." This document establishes the conditions for cooperation between the two countries in the energy sector, reports the correspondent of the business information center Kapital.kz.
Energy Minister Almasadam Satkaliyev emphasized that due to a shortage of capacity and unforeseen repairs at power plants, electricity losses from Russia reached 150 megawatts, and at certain times—up to 1,500 megawatts. In this regard, the Russian side initiated the update of the existing agreement.
"During the discussions, a plan of actions regulating the issues of parallel operation of the energy systems of Kazakhstan and Russia was adopted. We were able to reach a consensus on all contentious issues of the protocol for amending the agreement from 2009," he explained.
The parties agreed that the cost of deviations within the allowable range would not increase, and the terms of buying and selling electricity would be updated to compensate for deviations between JSC "KEGOC" and PJSC "Inter RAO." It is also planned to apply a profitability norm of 2.5% only for deviations exceeding the allowable range.
"The average hourly permissible deviation of flows will be +/-150 megawatts, within which the capacity is not paid for, and electricity transmission services are provided at an equivalent price," added Almasadam Satkaliyev.
Mazhilis deputy Mukash Iskandirov raised important questions regarding electricity purchases from Russia.
"What volume of electricity are we purchasing from Russia and at what price? Will this lead to an increase in electricity tariffs in Kazakhstan?" he inquired.
The Minister of Energy clarified that the purchase of electricity from Russia occurs in two cases: to cover the deficit and during unplanned flows. "If the deviation is up to 150 megawatts, we pay only for the cost of electricity. If it exceeds 150 megawatts, additional payments are made for dispatching and transit," he specified.
The minister also noted that planned flows occur during periods of deficit.
"During peak hours, Kazakhstan is forced to purchase electricity from neighboring countries. Last year, part of the electricity was purchased from Uzbekistan, while from Russia, the average price was 48 tenge per kilowatt-hour. This will not lead to price increases, as such purchases are a necessary measure," concluded Almasadam Satkaliyev.
It should be noted that Kazakhstan intends to implement a national project for the modernization of the energy and utility sectors. As reported by Deputy Minister of National Economy Arman Kassenov, this includes the construction of new energy-generating capacities as well as the modernization of existing ones.
"The implementation of this task will eliminate the deficit of electrical and thermal energy in the future. Thirdly, the implementation of the national project will ensure long-term financing—for the execution of investment projects—in the utility and energy sectors—in the necessary volume. Financing will be provided for up to 20 years to distribute the repayment of investment financing over a long period, thereby minimizing annual cash outflows for servicing the financing. Fourthly, I would like to note that the project emphasizes special attention to the development of domestic industry," said Arman Kassenov.
The implementation of the national project, he added, will reduce the wear and tear of infrastructure in electricity supply to 45%.