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Kazakhstan secures 6 million euros to modernize its energy grid

A project supported by the UNDP and the European Union aims to reduce energy losses and modernize Kazakhstan's electric infrastructure, the largest greenhouse gas emitter in Central Asia.

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Kazakhstan has recently secured funding of 6 million euros for an ambitious project aimed at improving the efficiency of its energy grid. The project, led by the United Nations Development Programme (UNDP) with the support of the European Union, seeks to reduce dependence on fossil fuels and upgrade infrastructure to meet the country’s climate goals.

A Financial Boost for Energy Transition

This project, supported by the Mitigation Action Facility, focuses on reducing energy losses, upgrading aging infrastructure, and introducing regulatory reforms. Kazakhstan’s energy sector contributes 85% of its national greenhouse gas emissions, presenting significant challenges. For context, its carbon intensity is twice that of the European Union, at 0.26 tons of CO₂ per $1,000 GDP.

Strategic Partnership with the European Union

The European Union plays a central role in this project, providing essential expertise and financial support. Aleška Simkić, European Union Ambassador to Kazakhstan, emphasized the importance of this partnership in achieving carbon neutrality by 2060. According to her, modernizing electrical grids is a crucial step in integrating more green energy into the country’s energy mix.

Aligned with Ambitious Objectives

The project directly contributes to Kazakhstan’s updated Nationally Determined Contributions (NDCs), which aim for an unconditional 15% reduction in greenhouse gas emissions by 2030. Concurrently, initiatives to develop modern energy technologies and reduce grid losses are underway in alignment with the national energy strategy for 2023-2029.

A Regional Model

With this project, Kazakhstan also aspires to serve as a model for other Central Asian countries facing similar challenges. By improving its infrastructure and strengthening institutional capacities, the country positions itself within a global energy transformation framework that could pave the way for new regional collaborations.

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