QAZAQ GREEN. Kyrgyzstan is considering a proposal to allow investors in renewable energy (RE) projects to set electricity tariffs in foreign currency. The proposed amendments to the constitutional law "On the National Bank of the Kyrgyz Republic" are designed to attract foreign investment and enhance the country's investment climate, according to Akchabar.

Currently, energy tariffs in Kyrgyzstan are set in the national currency, the som. However, the authors of the amendments argue that this can create challenges for foreign investors, whose expenses are often incurred in foreign currency.

For instance, during the preferential period, tariffs for electricity generated from renewable energy sources are determined by the Cabinet of Ministers. Under current law, prices for goods and services can only be listed in soms, without any linkage to foreign exchange rates.

This restriction may be seen by foreign investors as a barrier to the profitability of projects where investments and expenses are in foreign currency. A similar issue could arise in other sectors of the country’s fuel and energy complex when attracting foreign investment.

To address this, the proposed bill seeks to amend Article 21 of the constitutional law on the National Bank, allowing prices to be set in foreign currency for investment and public-private partnership projects in the fuel and energy sector involving the Cabinet of Ministers, according to the National Bank of the Kyrgyz Republic.