New Uzbekistan –The Big Country with Big Opportunities

Uzbekistan's energy transformation: new investment opportunities for the electrical engineering industry

As the grid expands at record pace, the country is turning to localization — with $823.9 million allocated across 12 projects to manufacture the components it currently imports. U zbekistan's energy system is entering a new stage of development. Rising demand for electricity, the rapid construction of solar and wind power plants, the introduction of energy storage systems, and the expansion of trunk transmission networks are creating new and sustained demand for electrical engineering products. This growth is no longer limited to building new power plants alone. Connecting new capacities to the grid, managing power flows, regulating voltage, rapidly detecting faults, storing energy, and digitally managing consumption all require modern electrical engineering components — most of which are still sourced abroad.   The core problem While the country's energy infrastructure expands, a large share of the high-tech components required for its operation — BMS modules, DSP processors, HVDC and FACTS equipment, OLTC, high-voltage bushings, protection automation, smart circuit breakers, wind components and residential storage — is imported. That raises foreign-currency outflow, deepens external dependence, and limits local engineering capability. Localization is not simply import substitution — it is a strategic task that ensures energy security and industrial independence. Ministry of Investments, Industry and Trade Managing energy storage systems import → BMS manufacturing Real-time signal processing import → DSP chip manufacturing Long-distance transmission import → HVDC manufacturing Voltage & power flow control import → FACTS manufacturing Transformer voltage regulation import → OLTC manufacturing High-voltage insulation import → HV bushings Digital grid monitoring import → Smart breakers/sockets Residential energy storage almost absent → Home storage systems   Twelve projects, five regions The Ministry has developed 12 investment projects aimed at closing these gaps — spanning storage and digital management, trunk transmission and high-voltage equipment, transformer components, and renewable energy parts. Project Region CAPEX, $M Revenue, $M IRR ROI BMS module manufacturing Karakalpakstan 8 15.5 34.4% 24.7% DSP chip manufacturing Karakalpakstan 300 136.3 21.2% 35.5% Wind generator components Navoiy 116.3 120 27% 21% Relay & protection automation Andijan 5 5 35% 31% OLTC manufacturing Andijan 20 14.9 32.1% 38.4% High-voltage bushings Andijan 17 70 28.2% 45.2% HVDC equipment manufacturing Sirdaryo 200 201 32.3% 32% FACTS equipment manufacturing Sirdaryo 60.2 73.6 34% 1.3% High-voltage circuit breakers Sirdaryo 41.3 36.3 26.9% 25.1% Smart circuit breaker Tashkent city 17.4 13.1 23.2% 33.1% Smart sockets and relays Tashkent city 17.9 12 26.6% 29.6% Home energy storage systems Tashkent city 20.8 23.1 26.6% 33.1% 12 projects 5 regions 823.9 720.8 — — Source: investment proposals submitted for each project.   Conclusion The next stage of Uzbekistan's energy sector will be defined not only by building new power plants, but by domestically manufacturing the technologies that manage, protect, transmit and store that energy. Together, these projects form a foundation for a modern electrical engineering industry — expanding the manufacturing chain and strengthening the sector's technological independence.