Currently, electricity tariffs for the population in Kyrgyzstan remain at a social level. These tariffs have been below the actual production cost for a long time, forcing the government to compensate the difference from the budget, thus creating financial difficulties in the energy sector.
In recent years, significant changes have been observed in the country's energy sector. Progress has been particularly noticeable after the revision of the tariff policy in 2023, which has activated infrastructure modernization and improved the technical base. Energy is now viewed not only as a service but also as the foundation of the state's economic security. The Ministry of Energy of the Kyrgyz Republic reported that in recent months, special attention has been paid to updating electrical networks. In some regions, outdated equipment has been replaced, substations have been updated, and modern automated control systems are being implemented, leading to a reduction in the number of emergency outages and improving the reliability of electricity supply.
To reduce technical losses, modern meters are being actively introduced, and digital control mechanisms are being developed. Experts note that these initiatives contribute not only to more efficient electricity consumption but also enhance the transparency of the entire system.
According to the National Electric Network of Kyrgyzstan, significant funds were invested last year in updating production equipment and capital repairs. The reconstruction of several key facilities has increased the reliability of electricity production and reduced the number of emergency situations.
These achievements have been made possible by changes in the tariff policy. Since May 1, 2025, the tariff for the population was increased from 1.11 to 1.37 som per kWh, representing a 23.8% increase. This increase has not become a critical burden for family budgets but has provided an opportunity for additional funding for sector modernization.
Even a slight increase in revenues has allowed for the implementation of large investment and technical projects in the energy sector.
Modernization of Electricity Network Infrastructure
As part of the tariff policy, extensive modernization has been carried out in the country:
- Replacement of 74 power transformers, adding 690 MVA to the total capacity;
- Installation of 645 additional transformer substations;
- Updating of 910 km of overhead power lines;
- Installation of 500,000 modern digital meters.
The installed capacity of the largest hydropower plants has increased:
- Toktogul HPP — from 1200 MW to 1440 MW;
- At-Bashinsky HPP — from 40 MW to 45.6 MW;
- Reconstruction work continues at the Uch-Kurgan HPP.
Social Policy
In Kyrgyzstan, 190,000 subscribers living in mountainous areas benefit from an unlimited tariff of 1.37 som per kWh. According to the social norm, over 43,000 subscribers pay for up to 700 kWh per month at a rate of 0.50 som, and for excess consumption — 2.60 som. In the Toktogul district and the city of Kara-Kul, a preferential tariff is in effect: up to 150 kWh — 0.22 som, beyond that — 1.37 som.
Comparison of Tariffs
Tariffs in Kyrgyzstan remain among the most affordable compared to neighboring countries:
- Kyrgyzstan — 1.37 som/kWh (≈1.6 cents USD);
- Kazakhstan — 25–32 tenge/kWh (≈4.31–5.54 som);
- Uzbekistan — 600–1000 sums/kWh (≈4.31–7.30 som);
- Tajikistan — 30.75–35.36 dirams/kWh (≈3.16–3.60 som);
- Armenia — 36.48–46.48 drams/kWh (≈2.78–10.64 som).
Thus, the tariff model of Kyrgyzstan allows for maintaining a social balance while simultaneously directing resources towards infrastructure modernization.
Growth in Consumption and New Challenges
Every year, many new enterprises are opened and modern residential complexes are built in the country, increasing the load on the energy system. In 2025 alone, 36,000 new subscribers were connected. From 2022 to 2025, their number increased by 96,975. Electricity consumption rose to 19,094 kWh in 2025 (compared to 18,234 kWh in 2024).
Goals of the Tariff Policy
The energy sector should become a self-sufficient system. Years of keeping tariffs below justified levels have led to infrastructure wear and tear. The main goal of the reform is to achieve financial sustainability in the sector, which will allow:
- Systematically updating electrical networks;
- Introducing new capacities;
- Developing "green" and renewable energy projects;
- Creating stable and clear conditions for investors.
Investments in energy are the foundation for long-term economic growth. Without reliable energy supply, full development of industry, small and medium-sized businesses, and the agricultural sector is impossible.
Priorities until 2030
By 2030, the following strategic directions are planned to be implemented:
- Development of "green" energy (solar and wind projects);
- Expansion of hydropower potential (construction of small and medium hydropower plants);
- Digitization and complete automation of electricity distribution;
- Formation of an energy-saving culture.
These measures will strengthen the country's energy independence and create conditions for the formation of a regional energy hub. Modern steps in the energy sector lay the groundwork for sustainable development in the future.
