President signed the Measures to implement the “Construction of a 100 MW capacity photovoltaic power plant in Samarkand province project” Decree.
According to Norma.uz, the investor is the French company Total Eren SA, the design company is Tutly Solar LLC.
The investment agreement provides for the obligations of the investor and the design company to design, finance, build and operate for 25 years a 100 MW capacity photovoltaic (PV) plant in Samarkand province.
Electricity purchase agreement between the National Electric Networks of Uzbekistan JSC and the design company has also been inked.
Under the agreement JSC National Electric Networks shall:
• enter into a buyer’s connection equipment transfer agreement with the design company;
• take ownership of the PV plant’s step-up substation from the design company after its commissioning and evaluation by an independent international consultant. Reimburse in a single payment the confirmed expenses of the design company;
• ensure the construction of associated infrastructure of the PV plant;
• open a confirmed renewable letter of credit in foreign currency to the design company to cover a three-month purchase of electricity generated by the plant.
The design company is entitled to:
• open offshore bank accounts for lending, receiving and using funds in foreign currency (including for credit funds);
• make direct payments to foreign contractors, suppliers or foreign creditors without obligation to make such payments through Uzbekistan bank accounts.
The Decree established that in relation to the volume of electricity sold within the project, no relief from value added tax shall be applied.
It was noted that the volume of investment is 150 million dollars.
