OPENOPEN STOCKSTOCK HOLDINGHOLDING POWERPOWER COMPANYCOMPANY ”BARKI”BARKI TOJIK”TOJIK”

HYDROENERGYHYDROENERGY OFOF TAJIKISTANTAJIKISTAN –– TODAYTODAY ANDAND TOMORROWTOMORROW

1 HydropowerHydropower recoursesrecourses ofof TajikistanTajikistan areare uniqueunique andand TajikistanTajikistan recoursesrecourses areare toptop --rankedranked inin thethe world.world. ThisThis determinesdetermines thethe mainmain strategystrategy ofof developingdeveloping thethe

energyenergy sectorsector ofof thethe RepublicRepublic 2 DespiteDespite ofof allall unfavorableunfavorable conditions,conditions,

Министерство энергетики thetheРеспублики Таджикистанelectricityelectricity outputoutput 99 inin thethe RepublicRepublic hashas remainedremained stablestable duringduring thethe lastlast fifteenfifteen yearsyears ofof TajikistanTajikistan IndependenceIndependence andand amountedamounted toto 17,017,0 billionbillion kWhkWh 2007.2007.

3 TheThe grossgross installedinstalled capacitycapacity ofof thethe HPPsHPPs inin operationoperation consistconsist 40904090 MW.MW. 4 NorakNorak HPPHPP onon thethe riverriver VakhshVakhsh isis thethe largestlargest inin thethe countrycountry withwith 3,3, 000000 MWMW installedinstalled capacitycapacity andand anan annualannual outputoutput ofof 11,211,2 billionbillion kWh.kWh.5 BaipazaBaipaza HPP,HPP, 600600 MWMW capacity,capacity, outputoutput ofof 2,52,5 billionbillion kWh/yearkWh/year

6 TheThe mainmain HPPsHPPs ofof thethe countrycountry

Installed capacity №№ HPP MW 1. Norak 3000 2. Baipaza 600 3. Kairakum 126 4. Cascade 285 5. Cascade 25,4 6. HPP Pamir-1 28 7. Small HPPs 25,6 Total : 4090 7 OnOn thethe RiverRiver VakhshVakhsh areare buildbuild andand actingacting CascadeCascade ofof VakhshVakhsh HPPsHPPs withwith aa totaltotal capacitycapacity onon 285285 MW.MW. 8 VarzobVarzob CascadeCascade withwith thethe totaltotal capacitycapacity ofof 2525 MWMW onon VarzobVarzob river.river.

9 OnOn SirdaryaSirdarya riverriver isis buildbuild KairakumKairakum HPPHPP withwith 126126 MWMW capacity.capacity. 10 PotentialPotential InstalledInstalled CapacityCapacity ofof thethe HPPsHPPs onon VakhshVakhsh riverriver consistconsist 91959195 MWMW andand powerpower generationgeneration isis 36,936,9 billionbillion kWhkWh inin aa year.year. OutOut ofof thisthis potentialpotential isis utilized.utilized. HPPsHPPs withwith anan aggregateaggregate installedinstalled capacitycapacity ofof 4,4904,490 MWMW areare underunder constructionconstruction andand 850850 MWMW areare underunder design.design. 11 Technical and economical indicates of the HPPs on the river Vakhsh

Power out Installed Hydropower put million capacity Plants kWh per year 3600 13400 Shurob 850 3000 Norak 3000 11200 Baipaza 600 3500 Sangtudah-1 670 2700 Sangtudah-2 220 900 Golovnay 210 1300 Perepadnaya 29,9 220 Centralnaya 15,1 110 Total : 9195 36330

12 EXISTING HPPsON VAKHSH RIVER:

Power out put Installed Hydropower million kWh capacity Plants per year Norak 3000 11200 Baipaza 600 3500 Golovnay 210 1300 Perepadnaya 29,9 220 Centralnaya 15,1 110 Total: 3855 16330

13 Under construction HPPson VakhshRiver:

Power out put Installed Hydropower million kWh capacity Plants per year

Roghun 3600 13400 Sangtudah-1 670 2700 Sangtudah-2 220 900

Total: 4490 17000

14 A VakhshRiver HPP under design:

Power out put Installed Hydropower million kWh capacity Plants per year

Shurob 850 3000

Total: 850 3000

15 Also in order to provide populated areas with hydroenergy , more than 25 small HPPs with the installed capacity from 100 KW to 1500 KW and 40 Micro HPPs with the installed capacity from 5 KW to 100 KW are set in operation. 16 TowardsTowards thethe endend ofof thethe 80s80s hydropowerhydropower generationgeneration inin thethe republicrepublic attainedattained impressiveimpressive results.results. ElectricityElectricity outputoutput perper capitacapita ofof thethe populationpopulation roserose toto 3,0003,000 kWh/year,kWh/year, whichwhich exceededexceeded

averageaverage EuropeanEuropean electricityelectricity output.output. 17 The Energy Program adopted in the beginning of the 80 -ies envisaged even greater development of the energy sector of through construction of large HPPs . This program envisaged the introduction of new capacity of 22,000 MW, with a corresponding increase of output by 86.8 billion kWh/year. 18 WorkedWorked outout thethe programprogram ofof fuelfuel andand energyenergy complexcomplex developmentdevelopment ofof thethe RepublicRepublic ofof TajikistanTajikistan forfor periodperiod 20062006 --20152015 isis directeddirected onon implementationimplementation ofof projectsprojects onon modernizationmodernization andand reconstructionreconstruction ofof thethe mainmain EnergyEnergy systemsystem objects,objects, includingincluding electricalelectrical stations,stations, transformerstransformers substationssubstations andand transmissiontransmission lines.lines.

19 ProjectsProjects onon modernizationmodernization andand rehabilitationrehabilitation ofof existingexisting HPPsHPPs envisageenvisage anan incrementalincremental increaseincrease ofof generatinggenerating unitsunits capacitycapacity byby 1010 perper centcent whichwhich translatestranslates toto anan increaseincrease inin thethe aggregateaggregate installedinstalled capacitycapacity ofof thethe HPPsHPPs byby 350350 –– 400400 MW.MW.

20 TheThe mediummedium termterm programprogram (2006(2006 --2010)2010) envisagesenvisages activitiesactivities towardstowards completioncompletion ofof thethe constructionconstruction ofof SangtudahSangtudah --1,1, SangtudahSangtudah --2,2, firstfirst phasephase ofof RogunRogun HPPHPP andand ShurobShurob HPP,HPP, allall ofof whichwhich hadhad begunbegun inin thethe 9090 --ies.ies.

21 TheThe GovernmentGovernment ofof thethe RepublicRepublic ofof TajikistanTajikistan andand RussianRussian FederationFederation signedsigned thethe AgreementAgreement onon OctoberOctober 16,16, 20042004 onon shareholdingshareholding arrangementsarrangements forfor thethe RussianRussian FederationFederation forfor thethe constructionconstruction ofof SangtudahSangtudah --11 HPP.HPP. 22 The Government of Islamic Republic of Iran will extend 180 million US dollars credit at preferential conditions for the construction of Sangtudah -2HPP in accordance with the Memorandum of Understanding for the construction of Sangtudah -2 HPP, signed by governments on June 11, 2005

Project realized by method BOT 23 ConstructionConstruction ofof thethe RoghunRoghun HPPHPP thethe largestlargest inin CentralCentral AsiaAsia ,, beganbegan inin thethe earlyearly 8080 --ies.ies. TheThe installedinstalled capacitycapacity ofof RoghunRoghun HPPHPP isis 36003600 MWMW withwith 66 unitsunits andand withwith aa totaltotal outputoutput 13,413,4 billion.billion. KW.hourKW.hour .. 24 AsAs atat JanuaryJanuary 1,1, 1992,1992, 802802 millionmillion UsUs dollarsdollars havehave beenbeen spentspent forfor thethe constructionconstruction ofof RoghunRoghun HPP.HPP. TheThe completioncompletion ofof thethe constructionconstruction requiresrequires investmentsinvestments inin thethe amountamount ofof 2.1982.198 billionbillion USUS dollarsdollars includingincluding 660660 millionmillion USUS dollarsdollars toto completecomplete thethe constructionconstruction ofof thethe firstfirst blockblock andand solvesolve thethe issuesissues inin thethe floodingflooding zone,zone, includingincluding thethe constructionconstruction ofof roads.roads. 25 KeyKey parametersparameters ofof RoghunRoghun HPPHPP

1. Dam height m. 335 2. Reservoir capacity km 3 - full 13,3 - initially used 10,3 - used after 50 years 8,6 3. Additional guaranteed water release km 3 4,4

4. Installed capacity, MW 3600 (6 х600)

5. Electricity output, billion kWh. 13,4

26 EfficiencyEfficiency ofof hydrohydro unit,unit, specificspecific parametersparameters

1.1. Necessary additional volume of financing, 2198,7 million USD 1.2. Term of recoupment of the additional capital 13,5 investments, years 1.3. Specific capital investments on 1 kw of the established capacity USD 833

27 EfficiencyEfficiency ofof hydrohydro unit,unit, specificspecific parametersparameters

Starting complex (first turn) 2.1. Necessary additional volume of financing, in view of charges, connected to a zone of flooding 660 million USD 2.2. Annual manufacture of the electric power 4,5 2.3. Term of recoupment of the additional capital 4,5 investments, years

28 CurrentCurrent calendarcalendar scheduleschedule envisagesenvisages thethe constructionconstruction ofof thethe firstfirst phasephase ofof thethe HPPHPP withwith thethe launchlaunch ofof 22 unitsunits atat lowerlower pressurepressure atat 160160 --170m.170m. TheThe capacitycapacity ofof thethe firstfirst phasephase HPPHPP isis 12001200 MW;MW; annualannual electricityelectricity outputoutput isis 4,54,5 billionbillion kWh.kWh.

29 FollowingFollowing thethe launchlaunch ofof thethe firstfirst phasephase ofof RogunRogun HPPHPP andand SangtudaSangtuda 11 andand SangtudaSangtuda 22 HPPsHPPs ,, thethe electricityelectricity outputoutput inin TajikistanTajikistan willwill reachreach 26,26, 44 billionbillion kWhkWh inin 2010.2010.

30 WithWith thethe purposepurpose ofof maintenancemaintenance ofof distributiondistribution ofof capacitycapacity ofof builtbuilt hydroelectrichydroelectric powerpower station,station, andand alsoalso exportexport ofof thethe summersummer superfluoussuperfluous electricelectric power,power, thethe

investmentinvestment projectsprojects onon constructionconstruction ofof 31TL.TL. 500500 kVkV TLTL “South“South ()(Dushanbe) -- NorthNorth (( KhujandKhujand )”)” Construction of 500 kV TL “South (Dushanbe) -North (Khujand )” was started September 15th 2006, and is planned to be directed trough the Dushanbe -Khujand highway LengthLength ofof thethe lineline toto KabulKabul –– 386386 km;km; TotalTotal costcost approximatelyapproximately isis 282282 millionmillion USDUSD TLTL isis directeddirected forfor transmissiontransmission ofof HydroHydro energyenergy toto thethe SouthSouth ofof Tajikistan,Tajikistan, thethe regionregion withwith moremore deficitdeficit ooff HydroHydro energy.energy. CapacityCapacity --1600MW1600MW --3232 millionmillion kilowattkilowatt perper day(24day(24 hours)hours) 32 500 kV TL “South (Dushanbe) -North (Khujand )”

33 ConstructionConstruction variantvariant ofof thethe TLTL –– 500500 kVkV ““ KhujandKhujand -- Datka(KirgizstanDatka(Kirgizstan )) -- AlmatyAlmaty (Kazakhstan)”(Kazakhstan)” withwith anan output(exitoutput(exit )) onon thethe southsouth ofof KazakhstanKazakhstan andand electricalelectrical networksnetworks ofof KirgizstanKirgizstan isis underunder work.work.

At continuation of TL-500kV “North-South” till Datka (Kirgizstan), transmission of manufactured Hydro energy in Kirgiz HPPs through Tajik electrical networks to the South Asian countries (Afghanistan,

Pakistan and Iran) will be possible. 34 500 kV TL “South (Dushanbe) -North (Khujand )- Datka (Kirgizstan) ”

35 WithinWithin thethe frameworkframework ofof thethe softsoft loan,loan, selectedselected byby thethe GovernmentGovernment ofof thethe PeoplesPeoples RepublicRepublic ofof ChinaChina toto thethe countries,countries, membersmembers ofof ShanghaiShanghai OrganizationOrganization ofof CooperationCooperation betweenbetween thethe GovernmentGovernment ofof thethe RepublicRepublic ofof TajikistanTajikistan andand EksimpbankEksimpbank ofof thethe PeoplesPeoples RepublicRepublic ofof ChinaChina waswas signedsigned thethe LoanLoan AgreementAgreement onon financingfinancing constructionconstruction ofof TLTL --500500 kVkV “South“South --North”North” forfor sumsum totaltotal ofof 282282 millionmillion USDUSD andand constructionconstruction ofof TLTL -- 220kV220kV ““ LolazorLolazor --KhatlonKhatlon ”” forfor sumsum totaltotal ofof 36 5959 millionmillion USD.USD. 500500 --kVkV TLTL ““ RoghunRoghun –– SangtudahSangtudah –– KunduzKunduz –– PuliPuli HumriHumri –– KabulKabul –– PeshawarPeshawar (Pakistan)”(Pakistan)”

Length of the line to Kabul – 585 km; This TL is intended to transmit hydroenergy from and Roghun HPPs . Carrying capacity – 8, 6 billion kilowatt hours per year

Currently under the patronage of the World Bank is resolving the question about creating Consortium of the interested countries and International financing organizations for construction of current TL. 37 500 -kV TL “ Roghun – Sangtudah – Kunduz – Puli Humri – Kabul – Peshawar (Pakistan)”

38 AtAt thethe firstfirst partpart ofof 2007,2007, accordingaccording toto thethe ADBADB scheduleschedule constructionconstruction ofof doubledouble strandedstranded TLTL --220220 kVkV ““ SangtudaSangtuda –– PuliPuli HumriHumri (Afghanistan)”(Afghanistan)” willwill bebe started.started. CurrentlyCurrently thethe feasibilityfeasibility ofof StudyStudy ofof tthehe currentcurrent projectproject isis underunder thethe work.work. CapacityCapacity ofof TLTL approximatelyapproximately isis 44 billionbillion kilowatt.kilowatt. hourshours aa year,year, whichwhich providesprovides toto transmittransmit 600MW600MW ofof hydrohydro energyenergy toto Afghanistan.Afghanistan.

39 AA keykey decisiondecision toto purchasepurchase electricityelectricity fromfrom TajikistanTajikistan andand KyrgyzstanKyrgyzstan hadhad beenbeen made.made. PakistanPakistan committedcommitted toto purchasepurchase 1000MW1000MW andand AfghanistanAfghanistan committedcommitted toto purchasepurchase 300MW300MW ofof electricityelectricity inin thethe nearnear --termterm (2006(2006 --2010).2010).

40 ConstructionConstruction ofof 1414 HPPsHPPs withwith capacitycapacity betweenbetween 300MW300MW andand 40004000 MWMW andand anan annualannual electricityelectricity outputoutput ofof 86.386.3 billionbillion kWhkWh onon PanjPanj river,river, thethe majormajor tributarytributary ofof AmydaryaAmydarya ,, hashas turnedturned economicallyeconomically viable.viable.

PleasePlease taketake aa looklook atat TechnicalTechnical andand EconomicEconomic IndicatorsIndicators ofof thethe HPPsHPPs onon PanjPanj RiverRiver andand AmudaryoAmudaryo River.River. 41 Technical and Economic Indicators of the HPPs on River and Amudaryo River.

№ HPP name Installed Electricity output, п/ capacity, MW billion kWh . п 1 Barshor 300 1,6 2 Andarob 650 3,3 3 Pish 320 1,7 4 Khorog 250 1,3 5 Rushan 3000 14,8 6 Yazghulom 850 4,2 7 Granite Doors 2100 10,5 8 Shirgovat 1900 9,7

42 Technical and Economic Indicators of the HPPs on Panj River and Amudaryo River (cont’d)

№ Наименование Установленная Выработка п/ гидроэлектростанций мощность , МВт электроэнергии п млрд .кВт .ч. 9 Khostav 1200 6,1 10 Dashtijum 4000 15,6 11 Djumar 2000 8,2 12 Moscow 800 3,4 13 Kokcha 350 1,5 Amudaryo River 14 Verhne-Amudarinskaya 1000 4,4 Total : 9350 86,3

43 44 AttractiveAttractive projectsprojects are:are:

DashtijumDashtijum HPPHPP –– 40004000 MWMW RushanRushan HPPHPP –– 30003000 MWMW HPPHPP GraniteGranite DoorsDoors –– 21002100 MWMW

45 MainMain indicatorsindicators ofof DashtijumDashtijum HPPHPP

Cost estimate, US$ billion 3,2 Water level, m maximum 300 265 design Dam height, m. 320 Reservoir capacity, million m 3: full 17,6 useful 10,2 Reservoir length, km 2 70 Installed capacity of the HPP, MW 4000 Electricity output, billion kWh 15,6 Investment per 1 KW, US$ 800 $ 46 47 KeyKey indicatorsindicators ofof RushanRushan HPPHPP

Cost estimate, US$ billion 2,4 Water level, m maximum 395 384 design Dam height, m. 150 Reservoir capacity, million m 3: full 5,5 useful 4,1 Reservoir length, km 2 71 Installed capacity of the HPP, MW 3000 Electricity output, billion kWh 14,8 Investment per 1 KW, US$ 800 $ 48 49 KeyKey indictorsindictors ofof GraniteGranite DoorsDoors HPPHPP

Cost estimate, US$ billion 1,7 Possible water level, m 300 Installed capacity of the HPP, MW 2100 Electricity output, billion kWh 10,5 млрд . Investment per 1 KW, US$ 800

50 51 TheThe developmentdevelopment ofof thethe hydrohydro potentialpotential ofof thethe followingfollowing riversrivers isis economicallyeconomically attractiveattractive andand technicallytechnically sustainable:sustainable:

River Obi -Hingou (5 -HPPs, total capacity 712 MW); River Surhob (4 -HPPs, total capacity 1077 MW); River Kofarnigan (5 -HPPs, total capacity 411 MW); River Varzob (3 -HPPs, total capacity 100 MW); River Zarafshon (6 -HPPs, total capacity 640 MW); River Fondaryo (4 -HPPs, total capacity 510 MW); River Matche (5 -HPPs, total capacity 500 MW); River (13 -HPPs, total capacity 356,4 MW); River (5 -HPPs, total capacity 485,9 MW);52 Technical and Economic Indicators HPPs on the Obi -Hingou river

№ Name of HPPs Installed capacity, Manufacture MW capacity, milliard kW/h 1 Santvorskaya 800 2,0 2 Ufatinckaya 850 2,1 3 Shtienskaya 600 1,5 4 Efarskaya 800 2,0 5 Nurobadskaya 160 0,62 Total : 3210 8,22

53 54 ConstructionConstruction cascadecascade HPPsHPPs onon thethe ObiObi --HingouHingou riverriver NecessaryNecessary toto constructconstruct PLTPLT 220220 KWKW substsubst .. RogunRogun -- sustsust GarmGarm -- sustsust .. TavildaraTavildara LengthLength 123123 km.km.

SchemeScheme ofof outputoutput capacitycapacity ofof cascadecascade HPPsHPPs onon thethe riverriver ObiObi --HingouHingou riverriver willwill bebe determinedetermine onon thethe processprocess ofof FeasibilityFeasibility studystudy specificallyspecifically

constructingconstructing HPP.HPP. 55 Technical and Economic Indicators HPPs on the Surhob river

№ Name of HPPs Installed capacity, Manufacture MW capacity, milliard kW/h 1 Djambulskaya 800 2,0 2 Saironskaya 850 2,1 3 Gorgenskaya 600 1,5 4 Gharmskaya 800 2,0 Tоtal : 3050 7,6

56 57 The Government of the Republic of Tajikistan purposed provide of individual regions with low -price electric power and on the October 2006 accepted the program for construction small HPPs at the expense of domestic and foreign investors in period 2007 - 2020 years. Stated Program foresees constructing of 71 small HPPs with total capacity 75.6 MGW and with output electric power 800 billion KW/h per year. 58 AtAt presentpresent timetime questionquestion withwith financingfinancing ofof constructingconstructing waswas solvedsolved byby thethe GovernmentGovernment ofof thethe RepublicRepublic ofof Tajikistan.Tajikistan. InvestorsInvestors isis IDBIDB (Islamic(Islamic DevelopmentDevelopment Bank),Bank), ADBADB (Asian(Asian DevelopmentDevelopment Bank),Bank), UNDP.UNDP. ObjectsObjects willwill bebe constructedconstructed andand areare underunder exploitationexploitation beforebefore 20102010 year.year. 59 InIn accordingaccording withwith thethe NationalNational StrategyStrategy forfor DevelopingDeveloping thethe EnergyEnergy SectorSector ofof RepublicRepublic ofof TajikistanTajikistan (2006(2006 --2015),2015), thethe electricityelectricity outputoutput willwill be:be:

InIn 20102010 –– 26.426.4 billionbillion kWh.kWh. InIn 20152015 –– 3535 billionbillion kWh.kWh.

60 AsAs farfar asas completioncompletion startedstarted worksworks inin periodperiod 20062006 --2015years:2015years: InIn 22 --ndnd turnturn RogunRogun HPP,HPP, ShurobShurob HPPHPP onon thethe VakhshVakhsh river,river, DashtijumDashtijum HPPonHPPon thethe PanjPanj riverriver andand developmentdevelopment riverriver basinbasin ZarafshonZarafshon thethe electricityelectricity outputoutput inin 20202020 yearyear willwill bebe 5757 --6060 billionbillion kW/h.kW/h.

61 ByBy thethe 2025,2025, thethe electricityelectricity outputoutput cancan reachreach 8080 billionbillion kWh/year,kWh/year, asas aa resultresult ofof thethe IntensiveIntensive developmentdevelopment ofof thethe hydropowerhydropower resourcesresources ofof thethe RepublicRepublic ofof Tajikistan.Tajikistan.

62 ElectricityElectricity demanddemand accordingaccording toto estimateestimate onon thethe basisbasis ofof prospectiveprospective economiceconomic developmentdevelopment indicatorsindicators ofof thethe RepublicRepublic willwill constitute:constitute:

 yearyear 20102010 –– 21.421.4 billionbillion kW/hkW/h ;;

 yearyear 20152015 –– 24.624.6 billionbillion kW/hkW/h ;;

 yearyear 20202020 –– 28.328.3 billionbillion kW/hkW/h ;;

 yearyear 20252025 –– 32.532.5 billionbillion kW/hkW/h .. 63 TheThe exportexport potentialpotential ofof thethe RepublicRepublic willwill amountamount to:to:

 yearyear 20102010 –– 55 billionbillion kW/hkW/h ;;

 yearyear 20152015 –– 1212 billionbillion kW/hkW/h ;;

 yearyear 20202020 –– 3030 --3232 billionbillion kW/hkW/h ;;

 yearyear 20252025 -- 47.547.5 billionbillion kW/hkW/h ..

64 Currently the existing power system is able to provide at the electrical energy tariff - 2,5 cents / kW / hours. In order to achievement of goal the Government of the Republic of Tajikistan worked on the program of step - by - step increasing tariffs on period of 2007 -2010 to the sustainable level of system -2,5 cents/ kW.hours . Implementation of this project was started from February 1st 2007, in which tariffs for each group of consumers will be increased by 25%. 65 ForeignForeign investmentinvestment inin thethe formform ofof laxlax creditscredits formationformation inin powerpower -- producingproducing sectorsector ofof TajikistanTajikistan inin 20072007 yearyear areare moremore thanthan US$US$ 750750 millionmillion .. AndAnd thethe GovernmentGovernment ofof thethe RepublicRepublic forfor thethe purposepurpose ofof excessiveexcessive increasingincreasing ofof publicpublic debtdebt willwill bebe encourageencourage directdirect investmentinvestment toto fieldfield servicesservices byby methodmethod BOTBOT atat realizationrealization hydropowerhydropower

projects.projects. 66 The President of the Republic of Tajikistan in his appearance on 2 -nd Conference for CASAREM declared about “Open doors” policy in the range for investment in power - producing sector.

67 ThanksThanks forfor youyou attentionattention

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