Kazakhstan mulls nationalization of struggling energy companies
The President of Kazakhstan, Kassym-Jomart Tokayev, on November 26, 2022 when taking office in Astana after his re-election.
AFP - HANDOUT
Text by: RFI Follow
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In winter, Kazakhstan's electricity grid is put under severe strain, leading to blackouts that affect the entire country.
Since Sunday, several thousand inhabitants have been without heating by -30°C in Ekibastouz, in the north of the country, following a power station accident.
Astana is therefore considering the nationalization of struggling energy companies.
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Already last January, a gigantic blackout had hit Kazakhstan, and two neighboring countries, Kyrgyzstan and Uzbekistan.
With the arrival of winter, consumption peaks are unmanageable, and the country's electricity network does not follow.
But there is another culprit: it is the computer mining industry, cryptocurrencies, which has invaded Kazakhstan since last year, and whose activity is very energy-intensive.
Faced with this strong demand, the Kazakh Minister of Energy points to the dilapidated state of the electricity network, which dates from the Soviet era.
An interconnected network, with other Central Asian countries, which remains deficient, despite investments.
The wear rate of the regional network is, in fact, 65%.
Result, the loss during the transmission of electricity is enormous.
And accidents in power plants are on the rise, leading to breakdowns.
On Tuesday and Wednesday, Kazakh President Kassym-Jomart Tokayev will visit Paris to strengthen ties between France and this Central Asian country.
A highly strategic region that Paris and Europe do not want to leave to Russian, Chinese, Turkish or American influences.
►To re-read: Presidential in Kazakhstan: outgoing President Tokayev given a clear winner
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Kazakhstan
Kyrgyzstan
Uzbekistan
Kassym-Jomart Tokayev