ADB and Masdar Unlock $30 Million to Power Uzbekistan’s Next-Generation Solar and Energy Storage Infrastructure

Both LEAP 2 and CANPA are administered by ADB, underscoring the bank’s role as a catalyst for scalable clean energy deployment across Asia and the Pacific.

The Asian Development Bank (ADB) and global clean energy leader Masdar have signed a $30 million financing package to develop one of Uzbekistan’s most advanced renewable energy projects—a 300-megawatt solar power plant paired with a 75-megawatt-hour battery energy storage system (BESS) in Guzar City, Kashkadarya Region.

The Guzar Solar and Battery Energy Storage Project marks a major step in Uzbekistan’s clean energy transition, combining large-scale solar generation with grid-stabilising storage technology to deliver reliable, low-carbon power at scale.

Beyond generation, the project will deliver critical grid-integration infrastructure, including 1.6 kilometres of transmission lines and a 220-kilovolt substation, strengthening the national power system’s ability to absorb renewable energy and respond to rising electricity demand.

Financing Innovation for Climate-Ready Infrastructure

The financing package brings together blended capital designed to de-risk and accelerate private-sector climate investment:

• $12.5 million loan from ADB

• $12.5 million loan from the Leading Asia’s Private Infrastructure Fund 2 (LEAP 2)

• $5 million loan from the Canadian Climate and Nature Fund for the Private Sector in Asia (CANPA)

Both LEAP 2 and CANPA are administered by ADB, underscoring the bank’s role as a catalyst for scalable clean energy deployment across Asia and the Pacific.

“This project demonstrates ADB’s strong commitment to supporting the clean energy transition, and specifically Uzbekistan’s path toward energy security,” said Kanokpan Lao-Araya, ADB Country Director for Uzbekistan. “By integrating solar generation with battery energy storage, the project improves power reliability, reduces emissions, and supports Uzbekistan’s sustainable growth ambitions.”

A Blueprint for Solar-Plus-Storage at Scale

Once operational, the Guzar project is expected to generate 634 gigawatt-hours of clean electricity annually and offset at least 354,000 tonnes of carbon dioxide emissions, directly supporting Uzbekistan’s target of achieving 40 percent renewable energy in its power mix by 2030.

For energy technology providers, the project highlights growing demand for utility-scale battery systems, smart grid integration, power electronics, and advanced forecasting and dispatch software—technologies critical to next-generation energy systems.

ADB is also providing a partial credit guarantee of up to $9 million to Nur Kashkadarya Solar PV Foreign Enterprise LLC, the Masdar-owned special purpose vehicle for the project. The guarantee mitigates payment risk and strengthens bankability, reinforcing investor confidence in Uzbekistan’s power sector reforms.

Global Capital Meets Regional Climate Ambition

The project reflects deepening collaboration between multilateral lenders, climate funds, and private developers. LEAP 2, backed by a $1.5 billion commitment from the Japan International Cooperation Agency, focuses on low-carbon infrastructure, while CANPA—supported by Can$360 million from the Government of Canada—advances climate, nature-based, and gender-inclusive solutions across Asia and the Pacific.

Masdar, headquartered in the United Arab Emirates, continues to expand its global footprint, with more than 50 GW of renewable capacity operational or under development and a target of 100 GW by 2030. ADB has financed nine Masdar projects, six of them in Uzbekistan, positioning the country as a regional clean energy hub.

Call to Action: The Next Wave of Energy Innovators

As Uzbekistan accelerates its transition to low-carbon power, the Guzar project sends a clear signal to energy storage developers, grid technology providers, AI-enabled energy management firms, and climate investors: the market for scalable, bankable renewable infrastructure is open—and growing.

Early adopters that can deliver storage optimisation, grid flexibility, digital control systems, and lifecycle performance analytics stand to play a defining role in shaping Central Asia’s energy future.