PRESS RELEASE to the report of the Minister of Energy of the RK K.A. Bozumbaev for Public Council

PRESS RELEASE to the report of the Minister of Energy of the RK K.A. Bozumbaev for Public Council

14.04.2025 09:33:40 1467

On May 31, 2018 in Astana the Minister of Energy of the Republic of Kazakhstan Kanat Bozumbayev made a report for the Public Council on the results of the work of the Ministry for 2017.

In his report, the Minister spoke about the main directions of the work of the state body in the oil and gas industry, electric power industry, coal, nuclear industry and environmental protection. 

In the oil and gas industry, a noticeable growth in the indicators of the sectors was noted. The volume of oil and gas production for 2017 compared to 2016 increased by 10.5% and 14% respectively.

The Minister of Energy of the RK attached great importance to the development of the oil and gas chemical industry. In recent years legislation has been significantly improved to create conditions for the organization of oil and gas chemical industries.

The implementation of two projects Polypropylene (capacity of 500 thousand tons per year, worth 2.6 billion US dollars) and Polyethylene (capacity 1.2 million tons per year, worth 6.5 billion dollars). will attract about 9 billion US dollars, will create up to 10,000 jobs during the construction phase and 1,000 in operation.

The sector of electric power industry on the background of growing consumption shows an increase in electricity generation by 8.7% compared to the previous year.

By the end of 2018, the II stage of construction of the 500 kV line of the interregional project "North-East-South" will be fully completed. The project is aimed at improving the reliability of power supply to the East Kazakhstan region and Almaty region and strengthening energy independence.

The Ministry attaches special importance to the issue of stimulating business in the use of green technologies. In May this year. an International Center of "green" technologies and investment projects has been opened to support and introduce low-carb investment projects with the search for potential investors, technical analysis of projects and the possibility of transferring the best "green" technologies. 

The Minister of Energy told about the work on the development of the new Environmental Code.

The Ministry has introduced a system for assessing the degree of risks in the field of environmental protection, which has made it possible to reduce the number of inspections almost twofold, taking into account the nature of the activities of nature users: from 3177 inspections in 2016 to 1753 in 2017. 

In 2017, the Ministry developed 3 branch legislative acts. In the current year, five draft legislative acts are being drafted by the Ministry, in particular, it is expected to adopt the draft Law of the Republic of Kazakhstan "On Amendments and Additions to the Law of the Republic of Kazakhstan" On Gas and Gas Supply "initiated by the deputies of the Parliament of the Republic of Kazakhstan.

1) The growth of oil production is achieved due to 3 large deposits: Kashagan, Karachaganak, Tengiz. Projects of expanding and further development of Tengiz, Karachaganak and Kashagan will make a significant contribution to the economic growth of the country in the medium term. 

The volume of oil production will grow steadily and by 2025 will reach the level of 104 million tons / year.

As for oil refining, modernization of Pavlodar and Atyrau refineries has been completed. The share of import dependence of the market in motor fuels has decreased.

In 2018, the modernization of the Shymkent oil refinery will be completed.

Since the beginning of the year, the Technical Regulation of the Customs Union has come into effect, banning the production of oil products that do not meet the standards of K-4 and 5. 

To increase productivity at three refineries, an automated maintenance management system (maintenance) is being introduced. The annual repair schedule will be reduced from 45 to 20 days, and a stop for 45 days will be carried out every three years. This will allow at each refinery to increase the volume of oil processing by an average of 300 thousand tons per year. 

Work is underway to build a new refinery. A working group was created in order to develop the pre-TED in the period until July 1 of this year. for the purpose of locating the plant, its parameters and financing.

2) The level of gasification of the country today is 47.4%, 1320 settlements have access to gas. Within the framework of transfers for the development of regions, about 13 billion tenge are allocated from the republican budget each year.

Thanks to the 5th social initiative of the Head of State, the issue of gasification of Astana and northern regions will be resolved.

The beginning of the implementation of the project for the construction of the Saryarka gas main is planned for July of this year. The first stage along the route "Kyzylorda-Zhezkazgan-Karaganda-Temirtau-Astana" will be completed by December 2019. The cost of the 1st stage of 1,081 km is 267.3 billion tenge.

3) The renewable energy market is growing. Last year, 5 objects of RES (3 HPPs, 1 WWES, 1 SES) were put into operation. This year, it is planned to introduce 10 renewable energy sources with a total capacity of 123 MW. The share of RES in the total electricity production in the Republic of Kazakhstan was 1.08%.

4) In 2017 the Ministry established a legislative and institutional framework for the implementation of the auction mechanism for the implementation of renewable energy projects.

Currently (May 23 - June 7 this year), spring auctions are held with the volume of purchased installed capacity of 245 MW. On the first day of the auction, the tariff for the wind farm decreased by 20%.

In 2017 coal mining companies produced 106.7 million tons of coal, which showed an increase of 8.3% to the level of 2016.

At the same time, the amount of financing for nature protection activities by nature users amounted to 129.6 billion tenge for 2017, which is almost 1.5 times higher than in 2015 (87 billion tenge). 

As a result of the audit, in order to reduce the administrative burden on the business as part of the inspections conducted, the control and supervisory functions are reduced by 30%.

In the field of waste management, the share of recycled waste products was 31%, solid waste - 9%, while this indicator increased by 1.3 times from industrial waste in 2015, and by 5 times in solid waste. It is planned to increase the share of processing of industrial waste to 32% in 2018, and to 11% of solide waste.

In 2016, IOM was introduced for cars and their components, in 2017 - for electrical equipment and packaging. During the period of implementation of the IOM (2016-2017), 136.1 thousand tons of waste were collected and processed. The amount of payments to processors amounted to KZT 5.2 billion.

Press service of the Ministry of Energy of the Republic of Kazakhstan

Source : https://www.gov.kz/memleket/entities/cerc/press/news/details/28977?lang=kk