Interview with Didar Karimsakov

October 2024

Zhuldyz Ramazanova

THRI Research Fellow

Didar Karimsakov

Chief Executive Officer of International Green Technologies & Investments Center, Kazakhstan

Can you tell us briefly about your center? What are its primary goals, and what do you focus on? How does the center prioritize which technologies or projects to invest in?

Kazakhstan has set ambitious targets for decarbonizing its economy, aiming for significant reductions in greenhouse gas emissions by 2030 and carbon neutrality by 2060. This includes substantial investments in renewable energy, enhancing energy efficiency, and implementing sustainable practices across various sectors, especially within the energy sector, which is both the largest emitter and a key economic driver. Our center, as a 100% state-owned entity, is dedicated to this transition towards a green, sustainable model. Our work covers a variety of tasks, for example, now we are creating a reference book of best practices to assist major emitters based in Kazakhstan in effective decarbonization. Additionally, we focus on attracting green investments, particularly in collaboration with organizations like the World Bank, while addressing critical areas such as water management, green building, and energy efficiency.

Kazakhstan has made significant strides in positioning itself as a leader in the green agenda, with ambitious targets for a sustainable, low-carbon economy. What are the major investments being made in green technologies, and could you provide some examples of key projects currently underway?

Kazakhstan is making significant investments in green technologies, as part of its international climate commitments, the country is striving to achieve carbon neutrality by 2060. This includes specific goals for reducing greenhouse gas emissions by 15% from the 1990 baseline by 2030, and long-term plans to decarbonize key sectors like energy, agriculture, and industry. Kazakhstan’s green agenda is developed around international frameworks such as the Paris Agreement, the UN’s Sustainable Development Goals, and its own Green Economy Concept, adopted in 2013. 

One of the most significant aspects of Kazakhstan’s decarbonization strategy is its investment in renewable energy. The country has vast renewable energy potential, particularly in solar and wind power, and has committed to generating 15% of its energy from renewables by 2030, which is a massive increase compared to the current production level. Currently, about three-quarters of projects in the country focus on renewable energy. Kazakhstan has attracted considerable foreign direct investment to accelerate its renewable energy goals. A prime example of this is the 3 GW electricity generation capacity being developed across various renewable energy projects. Companies like TotalEnergies, Masdar (a leading global player in renewable energy based in the UAE), and Chinese firms are actively investing in renewable energy infrastructure in Kazakhstan. These projects include large-scale wind farms and solar parks, contributing to Kazakhstan’s goal of diversifying its energy mix away from coal and natural gas, which currently dominate the energy landscape. 

Despite these advancements being made, Kazakhstan faces a persistent 10% energy shortfall, especially during periods of peak demand. This gap has led Kazakhstan to rely on energy imports from the Russian Federation, a dependency that underscores the urgency of advancing its green technology initiatives and attracting further investments in the sector. Energy dependency can indeed be dangerous, and Kazakhstan has already experienced these risks firsthand. Historical events, especially since the beginning of the war in Ukraine, such as the blockage of our oil transit through Russian pipelines have significantly impacted Kazakhstan’s energy trade and underscored the risks of relying on a single country for vital energy infrastructure.

IGTIC is particularly focused on enhancing energy efficiency, addressing the critical issue of electricity loss and waste. This focus is essential for maximizing the effectiveness of our renewable energy projects and ensuring a sustainable energy future for the country.

International cooperation is crucial for the development and deployment of green technologies in Kazakhstan, especially given the global nature of the climate crisis. How important is international cooperation in the development and deployment of green technologies in Kazakhstan? 

Kazakhstan, like many other nations, must collaborate with international partners to leverage technology, expertise, and financing needed to tackle climate change and reduce its dependence on fossil fuels. International collaboration is important for accessing cutting-edge green technologies by learning the expertise of countries that are global leaders in renewable energy, energy efficiency, and sustainable practices. One of the partners of Kazakhstan is China, whose leadership in green technologies, particularly in solar panels and waste management, presents significant opportunities for collaboration. This partnership is mutually beneficial, as Kazakhstan can leverage China’s expertise while China seeks reliable energy sources to meet its growing demands. Through joint initiatives, we can enhance renewable energy capacity and improve sustainability practices in both countries, contributing to regional energy security. Meanwhile, such organizations as the World Bank, Asian Development Bank, and European Bank for Reconstruction and Development have been key partners in supporting Kazakhstan’s green initiatives. 

Regional cooperation is equally important for Kazakhstan, especially regarding the shared water resources in Central Asia. Water is a critical issue for the entire region, and Kazakhstan must collaborate with neighboring countries such as Kyrgyzstan, Uzbekistan, and Tajikistan to manage water resources effectively and improve the energy-water-food nexus. Sustainable water management, which includes green technologies like water-efficient irrigation systems and hydroelectric power, requires coordinated efforts between countries to ensure equitable distribution and prevent water shortages that can affect agriculture and energy production. While we  currently have limited projects with Central Asian partners, we are actively working to enhance collaboration in the region. The scarcity of water resources poses significant challenges for sustainable development, agriculture, and energy production. Our center recognizes that fostering collaboration among Central Asian nations is vital for creating comprehensive solutions to these shared water challenges. 

At the upcoming COP29, we plan to announce our initiative to establish a regional bureau for green technologies that will facilitate cooperation across Central Asia. This bureau aims to coordinate efforts and share best practices among Kazakhstan, Kyrgyzstan, Uzbekistan, and Tajikistan.

By fostering these partnerships, we hope to leverage our collective strengths, pool resources, and tackle common challenges in the green technology sector, ultimately advancing our shared goals for sustainability and decarbonization.

How does the competitive landscape among major international players impact the development of green technology projects in Kazakhstan? What specific challenges or opportunities arise from this dynamic?

The competitive landscape among major international players has a significant impact on the development of green technology projects in Kazakhstan. As these global powers vie for influence in regions rich in natural resources, Kazakhstan, with its strategic location and vast renewable energy potential, becomes a key focal point for international collaboration and competition in green technologies. This competition brings both challenges and opportunities for Kazakhstan as it seeks to transition toward a low-carbon economy. 

One of the most significant opportunities arising from this competitive environment is access to cutting-edge technologies from different global players. Each power offers distinct expertise in green technology. For example, China is a leader in solar panel production, battery storage solutions, and waste management. Meanwhile, the EU is at the forefront of renewable energy innovation, particularly in wind and hydrogen power, and the United States excels in advanced energy efficiency technologies and carbon capture and storage solutions.

The competition among these global powers has also led to a surge in foreign investments. Countries see Kazakhstan’s energy transition as a strategic opportunity to expand their influence while benefiting economically from large-scale projects in a region ripe for renewable energy development. For example, a significant ongoing project involving the construction of a nuclear power plant is potentially to be built by Korea, China, Russia, or France, and it demonstrates how Kazakhstan’s energy landscape is shaped by global players competing to secure key strategic partnerships.

Coming to the challenges of that competition, a key one is balancing relationships as geopolitical tensions rise. There is no opportunity to align too closely with one power as it might alienate the others. For instance, China’s growing influence in Central Asia, including through its Belt and Road Initiative, may create friction with Western nations. Kazakhstan must navigate these tensions, maintaining neutrality and developing productive partnerships. 

 

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