The Service Of Maintaining The Readiness Of Electrical Capacity In Kazakhstan (The Capacity Market).

1. the sites included in the Siting Plan of generating facilities with a flexible generation mode and having preliminary feasibility studies;
 

2. sites of existing energy-producing organisations;
 

3. sites that do not have preliminary feasibility studies.
 

After the auction, the winner signs the contract for the purchase of the Service for 15 years from the date of its first certification, at an individual rate specific to the construction of those particular new flexible mode generating facilities.
 

The tenor of the auction-based individual tariff for the Service is not limited to the 7-year period used for the tariff caps.
 

To cover the projected capacity demand, FSC concludes contracts for the Service in the following priority order:
 

1. With the winners of tenders for the construction of generating facilities that have already been commissioned and whose individual tariffs for the Service have been determined by the tender results. The volumes and deadlines for the purchase of the Service for each contract are established by the Ministry of Energy.

2. With the winners of the auction trading, whose individual tariff for, and volumes of (in the construction of new flexible generation facilities), the Service for each contract, are determined the auction results

3. With existing energy-producing organisations that have entered into investment agreements for the modernisation, expansion, reconstruction and (or) renewal of their facilities with the Ministry of Energy. The individual tariffs, the volumes and timing of the purchase of the Service each contract are also established by the Ministry of Energy.

 

Individual tariffs in the construction of new flexible mode generating facilities, the volumes and times of purchase of the Service of the winners of the auction can only be reduced, since there is a direct prohibition on adjustments towards an increase.
 

At the moment, despite the overall surplus of electrical capacity, there is a lack of regulation and flexible capacity to promptly replenish any possible deficits in the energy system. To solve this issue, the Ministry of Energy has decided to conduct an auction for the construction of newly commissioned generating facilities with a flexible mode. 3 Auctions are considered in the following zones of the unified electric power system of the Republic of Kazakhstan:
 

1. 27.12.2021 – in the southern zone (Kyzylorda region) construction of a steam-gas facility with a thermal energy with an installed electrical capacity of about 150-250 MW;

2. 28.12.2021 – in the southern zone (Turkestan region) construction of a steam-gas facility with an installed electric power of about 250-350 MW;

3. 29.12.2021 – in southern and northern zones construction of a gas facility and (or) generating facilities using hydrodynamic water energy with a total installed electrical capacity of about 450-550 MW.4  

Click here to read the documents in Russian. (Pdf 3 Pages)
 

 

For further information, please contact:

 

Saniya Perzadayeva, Managing Partner, Unicase Law Firm

saniya.p@unicaselaw.com