Tajikistan to spend over $460 mln on Rogun dam in 2011-2012
September 17, 2010
Tajikistan will earmark 2.05 billion somoni (roughly $467.8 mln) worth of state budget funds for the construction of the Rogun dam and hydropower plant, which when put into operation could be the biggest power facility in Central Asia, the republic's Economic Development and Trade Ministry said on Friday.
Tajikistan allocated 650 million somoni (4.3818 somoni/$1) for the "construction works of the century" this year (533 million in 2009), and also earned another 820 million somoni from the sale of Rogun shares.
"In 2010-2012, state investments in the construction of Rogun GES [hydropower plant] will come to 2.7 billion somoni, including 650 million somoni in budget funds built into this year's budget," the ministry said.
Including the Rogun spending, state projects during that period will be allocated 4.51 billion somoni.
Tajikistan is building the plant with its own money, using the sale of shares and budgetary allocations.
Neighboring Uzbekistan is against the Rogun dam. Tashkent thinks the works on the Pandzh river (Amu Darya) will have a negative impact on Uzbek agriculture, which uses downstream water from the river.
Dushanbe denies this, and is amenable to an independent review of the project that should begin before year-end, involving an independent foreign company whose selection involves the World Bank.
Tajikistan founded in April of 2008 an open stock company for the dam's completion with charter capital of 116 million somoni.
Tentative estimates put the needed investment in the Rogun facility at over $3 billion for putting into operation six generating units, each with generating capacity of 600 mWt. The dam will allow Tajikistan to completely eliminate its current power shortage of 4 billion kWt hours per year, and to become a major electricity exporter in the region.