Tashkent, Uzbekistan (UzDaily.com) —  On 18 December, during a Senate meeting of the Oliy Majlis, Deputy Prime Minister and Minister of Economy and Finance of Uzbekistan, Jamshid Kuchkarov, stated that the increase in heating and hot water tariffs in Tashkent, set to double, is insufficient to cover actual costs.

Senator Anvar Tuychiev reported that in 2025, 28.3 trillion soums are planned to be allocated for subsidies from the state budget, of which 12.3 trillion soums will go to the energy sector, including 7.5 trillion soums for compensating the difference between the market cost of production and retail prices for gas and electricity. Subsidies for heating companies will also see an increase of 600 billion soums, reaching a total of 4.8 trillion soums.

Tuychiev expressed concern about the effectiveness of subsidies amid the transition to market-based principles and inquired how this would affect future tariffs.

Kuchkarov acknowledged the problem with tariffs and subsidies, highlighting the large price differences between regions. He emphasized that heating tariffs in Tashkent and other cities such as Bukhara and Fergana vary significantly.

The Deputy Prime Minister also pointed to technological issues such as outdated equipment and low efficiency in gas use.

He added that the decision to raise tariffs in Tashkent twice — in spring and autumn — next year will still not be sufficient to cover actual costs, and continued subsidies from the national budget will be necessary.

It is worth recalling that it was previously reported that tariffs for heating and hot water in Tashkent are set to increase by 15% twice in 2025.