Is Kazakhstan at a crossroads in its energy sector?

Kazakhstan, a vast and resource-rich nation in Central Asia, is at a crossroads in its energy sector. With a growing emphasis on sustainability and a need to align with global decarbonization efforts, the country is embarking on a transformative initiative that aims to ensure the security and reliability of its energy supply.

Does Kazakhstan need more energy?

As Kazakhstan expands renewables, more investment will be needed in flexible capacity such as gas-fired and hydro power plants to accommodate the variability of solar and wind output, the report says. Kazakhstan’s system currently relies significantly on electricity imports from Russia to cover imbalances and maintain frequency stability.

Should Kazakhstan adopt an energy security strategy?

Global trend of tightening carbon regulation presents yet another impetus for broader modernization and systemic reforms of energy sector in Kazakhstan. Kazakhstan should articulate and adopt an official Energy Security Strategy document, guided by these general observations.

Will Kazakhstan's Energy Transition be a model for other countries?

Kazakhstan’s progress on the energy transition can serve as a model for other countries in the region and beyond on advancing a just transition away from fossil fuels–helping to build a more sustainable, resilient economy for all.

How much electricity does Kazakhstan produce?

Kazakhstan generates more than 70% of its electricity from its abundant resources of coal but aims for other sources to supply half its power by 2050.

Are energy prices a social concern in Kazakhstan?

The report recognises that energy prices are a significant social concern in Kazakhstan. A rise in prices for liquified gas used in vehicles contributed to the unrest that gripped the country in January 2022. However, low prices have made it difficult to diversify the types of energy used for the domestic market and to promote energy efficiency.