Global Gateway Forum: EU expands investments in hydropower to drive Central Asia’s energy transformation - EEAS

Global Gateway Forum: EU expands investments in hydropower to drive Central Asia’s energy transformation - EEAS

Published November 22, 2025

Global Gateway Forum: EU Increases Hydropower Investments to Accelerate Energy Transformation in Central Asia

The European Union (EU) has announced a significant expansion of its investments in hydropower projects across Central Asia during the recent Global Gateway Forum. This initiative is part of the EU's broader strategy to enhance energy security and sustainability in the region, which is rich in hydropower potential.

At the forum, held on [insert date], EU officials and representatives from Central Asian countries gathered to discuss the future of energy in the region. The focus was on how hydropower can be leveraged to meet the growing energy demands while also addressing climate change challenges.

Hydropower Potential in Central Asia

Central Asia is home to numerous rivers and mountainous terrains, making it an ideal location for hydropower generation. The region has an estimated hydropower potential of around 1,000 terawatt-hours (TWh) annually, which remains largely untapped. Existing hydropower facilities in countries like Kyrgyzstan and Tajikistan provide a glimpse of the vast opportunities available for expansion.

The EU recognizes that developing hydropower not only contributes to energy security but also promotes economic growth and regional cooperation. Investments in this sector can help Central Asian countries reduce their reliance on fossil fuels and transition to a more sustainable energy system.

Investment Commitments

During the forum, the EU pledged to allocate significant financial resources towards hydropower projects. Specifically, the European Commission announced an investment of €500 million ($550 million) aimed at supporting the development of new hydropower plants and the modernization of existing facilities.

This investment will be complemented by technical assistance and expertise from EU member states, which will help Central Asian countries enhance their hydropower capabilities. The EU's commitment also includes fostering partnerships with local stakeholders to ensure that projects are sustainable and beneficial to local communities.

Partnerships for Sustainable Development

The EU's hydropower investment strategy emphasizes the importance of sustainable development. As part of this initiative, the EU plans to collaborate with international financial institutions, such as the European Investment Bank (EIB) and the Asian Development Bank (ADB), to mobilize additional funding for hydropower projects.

Moreover, the EU aims to promote best practices in hydropower development, ensuring that projects adhere to environmental standards and consider the social impacts on local populations. This approach aligns with the EU's commitment to the Paris Agreement and its goal of achieving carbon neutrality by 2050.

Regional Cooperation and Energy Security

Hydropower development in Central Asia is not only about individual countries but also about fostering regional cooperation. The EU's investments are expected to facilitate dialogue among Central Asian nations, encouraging collaborative projects that can enhance energy security across borders.

For instance, joint hydropower initiatives could lead to improved electricity trading among countries, allowing for a more resilient energy grid. This cooperation is particularly crucial given the region's vulnerability to climate change and the need for adaptive measures to ensure energy supply stability.

Challenges Ahead

While the potential for hydropower in Central Asia is substantial, several challenges remain. Issues such as water resource management, environmental concerns, and political dynamics among Central Asian countries can complicate the development of hydropower projects.

Effective governance and regulatory frameworks will be essential to address these challenges. The EU's involvement is seen as a way to strengthen these frameworks, providing guidance and support to ensure that hydropower development is equitable and environmentally sound.

Conclusion

The EU's expanded investments in hydropower mark a significant step towards transforming the energy landscape in Central Asia. By harnessing the region's hydropower potential, the EU aims to support sustainable energy development, enhance regional cooperation, and contribute to global climate goals.

As Central Asia embarks on this energy transformation journey, the partnership between the EU and local governments will be crucial in overcoming challenges and realizing the full potential of hydropower in the region.

For further details on the EU's initiatives and investments in hydropower, please visit the official European Commission website.

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