[{"bbox": [109, 151, 337, 181], "category": "Section-header", "text": "## 2.2 Problem Analysis"}, {"bbox": [121, 194, 336, 219], "category": "Section-header", "text": "**Short problem analysis:**"}, {"bbox": [121, 230, 1110, 328], "category": "Text", "text": "The most acute issues in the power sector include **ageing infrastructure, under-investment, monopolisation, mismanagement, high losses, difficulties in revenue collection and below-cost tariffs.** According to MEWR, the legal and regulatory framework of the power sector is insufficient to achieve the necessary changes for facilitating a sustainable and green transition of the economy of Tajikistan."}, {"bbox": [121, 339, 1110, 462], "category": "Text", "text": "Up to 80% of Tajikistan's agricultural production requires irrigation. There are more than 200,000 water pumps in the country, consuming about 24% of the total power consumed on a yearly basis in Tajikistan. At the same time, losses in the power system are estimated at 40% due to low collection rate especially in rural areas where power fee is incorporated into irrigation fee (only 60% of which are collected). Furthermore, according to the MEWR, there are about 85,000 of unregistered non-residential power consumers."}, {"bbox": [121, 471, 1110, 643], "category": "Text", "text": "The climate change acceleration in Tajikistan, resulting in gradual reduction of available water resources (while water is the main and, practically, only source of primary energy in the country), implies the necessity to make an efficient use of both energy and water. Thus, the Water-Energy-Food Nexus approach appears to be the most appropriate one to be applied for strategic planning in the energy and water sectors. However, despite being under the responsibility of MEWR, there is no adequate cross-sectoral collaboration between the power and water sectors. The lack of communication and coordination mechanisms between both services prevents from establishing full cooperation and adoption of efficient and effective joint public policies for power and water sectors."}, {"bbox": [121, 653, 1109, 728], "category": "Text", "text": "The private sector participation in Tajikistan, and in particular in the power sector, is underdeveloped with only few Public-Private Partnership projects. The absence of the private sector is partially explained by the lack of an attractive legal and regulatory framework for investment, but also by the lack of knowledge and supporting framework."}, {"bbox": [121, 738, 1110, 812], "category": "Text", "text": "The COVID-19 implications on Tajikistan have more extensively highlighted the food security problem stemming from the fact that Tajikistan is a net food importer. There is an urgent need to increase labour efficiency in agriculture and to create new working places in all sectors of economy."}, {"bbox": [121, 822, 1110, 945], "category": "Text", "text": "Finally, the majority of women are involved in subsistence farming, with very low income. In addition to the gender equality issues in the agriculture sector, the energy sector also demonstrates very low involvement of women in the technology or decision-making process. It also shows a complete absence of understanding of the role of energy in everyday life of women and groups that are living in vulnerable situations (including persons with disabilities, people living in poverty, female-headed households and people living in remote areas)."}, {"bbox": [121, 957, 1110, 1007], "category": "Section-header", "text": "**Identification of main stakeholders and corresponding institutional and/or organisational issues (mandates, potential roles, and capacities) to be covered by the action:**"}, {"bbox": [121, 1017, 1110, 1140], "category": "Text", "text": "The key stakeholder and the main duty-bearer in the Action is the **MEWR**. It is the central government authority responsible for the development and implementation of policies, both in the energy and water sectors. Until now, the MEWR fulfils regulatory functions in the area of fuel, energy and water although the **Electricity Regulator (a Division of Antimonopoly Committee)** was created in 2019 and is expected to ultimately evolve into a full-scope independent Electricity Regulatory Authority in the coming years."}, {"bbox": [121, 1150, 1110, 1297], "category": "Text", "text": "The newly created public entities **BT (generation), Shabakahoi Intiqoli Barq OJSC (SIB -Power Transmission Network Co.) and Shabakahoi Taqsimoti Barq OJSC (STB - Power Distribution Network Co.)** have not finalised the process of splitting up into separate companies, as the separation of assets and accounts is incomplete, delaying the development of the new cost-reflective tariffs. All three BT operators, along with the Electricity Regulator and the **Transmission System Operator (Division of SIB)**, need to improve their operating capacities under an open power market mode and efficiency in promoting sustainable energy."}, {"bbox": [121, 1308, 1082, 1334], "category": "Section-header", "text": "**Thus, MEWR, BT operators and the Electricity Regulator are the main beneficiaries of the proposed Action.**"}, {"bbox": [121, 1345, 1110, 1467], "category": "Text", "text": "Stakeholders, rights-holders of the action benefiting from the improvement of the enabling business environment (more efficient, transparent and fair electricity market) and the implementation of EE and RE measures at the end-user side (demand side management) are **SMEs and CSOs active in the energy and water sector** and climate change. It also includes women's organisations and organisations representing rights of women, youth, and persons living in vulnerable situations such as persons with disabilities, **as well as the population in general**."}, {"bbox": [1012, 1658, 1121, 1682], "category": "Page-footer", "text": "Page 7 of 26"}]