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Green energy consumers in Uzbekistan to get tax privileges

6 May 2019

The Senate of Uzbekistan approved a law at a plenary meeting on Friday that provides a number of benefits for producers and consumers of renewable energy sources, Trend reports with reference to the Senate Information Center.

"The Senate today approved the law on the use of renewable energy sources," a representative of the upper house of parliament said.

He stated that the document, which defines the main directions of state policy in this area, was sent for signature to the president.

Producers of renewable energy will be provided with a number of tax incentives and preferences in accordance with the law.

In particular, they are exempt from property tax in terms of renewable energy installations for a period of 10 years and from VAT in terms of energy sold to Uzbekhydroenergo enterprises.

In addition, manufacturers of installations are exempt from paying all types of taxes for a period of five years from the date of state registration.

Users of renewables in residential areas subject to the complete disconnection of existing energy networks will also be exempt from paying property tax on individuals and land tax.

"The law also provides for the issues of technical regulation, standardization, conformity assessment and requirements for the use of renewable energy sources," the Senate added.

At the end of May 2017, President of Uzbekistan Shavkat Mirziyev approved a program for the development of renewable energy in the country for 2017-2025, which includes 810 projects worth $5.3 billion.