The European Bank for Reconstruction and Development (EBRD) and Kazakhstan have agreed to develop a long term co-operation strategy to help the power sector achieve carbon neutrality by 2060.
They will work together on the development of renewable energy and the carbon market, the enhancement of the electrical grid and the decommissioning of old thermal capacity, among other things.
The EBRD has committed to financing renewable energy projects in Kazakhstan through an auction scheme in order to promote competitive pricing and to stimulate investment in renewables.
It has financed 14 projects worth $535 million (£387m) to date and in 2020, the EBRD allocated $53 million (£38m) to support the construction of a 100MW wind farm near the city of Zhanatas and a 76MW solar plant in the Karaganda region.
EBRD President Odile Renaud-Basso said: “We are pleased to help Kazakhstan develop its energy sector in line with the global decarbonisation agenda. Our partnership in the area of sustainable energy began over a decade ago and based on the country’s achievements to date, Kazakhstan is right on track to achieve the new ambitious target of carbon neutrality.”
Kazakhstan’s Energy Minister Nurlan Nogayev added: “Longstanding co-operation with the EBRD is helping us achieve our development goals in the energy sector. Jointly, we search for innovative solutions to enable the sector’s sustainable development and this is an important foundation for our present and future work. Today’s memorandum will shape our co-operation for years to come.”