Reference News Network, December 31 report: On December 23, the Australian East Asia Forum website published an article titled "How China and Gulf Countries Are Helping Central Asia Achieve Energy Transition," authored by Roman Vakulchuk, co-founder of the Central Asian Development Institute and head of the Climate and Energy Group at the Norwegian Institute for International Affairs, and Kamila Baisenbaeva, analyst at the Central Asian Development Institute. The following is an excerpt:

Since the proposal of the Belt and Road Initiative, China has become one of the world's largest overseas energy investors. Although its investments have traditionally focused on fossil fuel sectors, post-pandemic, China's investment focus has shifted to renewable energy sectors, especially in developing countries.

At the same time, Beijing has actively promoted the concept of a green Belt and Road to respond to external criticisms about the high carbon intensity of the initiative. In the post-pandemic era, investments by Gulf countries in clean energy have also shown significant growth. Since 2022, the Central Asian region, traditionally known for its abundant fossil fuel resources, has been attracting increasing renewable energy investments from Chinese and Gulf companies.

China and Gulf countries are influencing Central Asia's energy transition through complementary competition, playing distinct but complementary roles when investing in renewable energy projects.

Since the pandemic, China has invested in and completed several projects in the region, especially in the renewable energy sector.

Kazakhstan has become the main beneficiary of China's clean energy financing in Central Asia. According to the "China Belt and Road Trade and Investment Development Report," a considerable portion of the Belt and Road investments attracted by Kazakhstan in 2024 were directed towards renewable energy and power generation sectors.

Flagship projects include the 100-megawatt wind power project in Zhanatas built by China Power International, as well as multiple solar power stations in Karaganda and Almaty regions. These projects represent some of the largest renewable energy facilities in Kazakhstan and are often regarded as important evidence of China's assistance in helping Kazakhstan achieve energy structure diversification.

Meanwhile, Gulf-based companies such as Masdar (United Arab Emirates) and Saudi International Electricity and Water Company (Saudi Arabia) have also invested in renewable energy projects in Kazakhstan, focusing on wind farms and battery storage.

Uzbekistan has also become a center for Chinese investment. In 2023, the Belt and Road investments in Uzbekistan by China mainly targeted solar and wind energy sectors. The 400-megawatt photovoltaic power station built in the Andijan region using Chinese funding and technology marks the country's first utility-scale solar project.

Chinese enterprises face complementary competition from Gulf investors, especially Masdar, which has secured multiple large wind and solar projects in Uzbekistan. The Zeravshan Wind Farm project is a typical example. This project, with a planned capacity of 500 megawatts, will become the largest single wind project in Central Asia. Initially developed by Masdar, the company invited China's wind equipment manufacturer Goldwind to provide 111 wind turbines. Subsequently, China Power Construction Group participated in the construction as the general contractor.

Central Asia provides a vast market for Chinese enterprises to export technology and expertise. Overseas investments not only help maintain the survival space for Chinese manufacturers but also allow them to test and demonstrate their technological capabilities in different environments. By funding and building renewable energy projects, China not only strengthens diplomatic relations but also deeply embeds itself into Central Asia's key infrastructure networks.

However, as of 2025, China's renewable energy footprint in Central Asia is still smaller than that in Africa and Southeast Asia. This difference may be due to multiple factors.

The demand for renewable energy driven by rapid population growth in Africa and industrial expansion in Southeast Asia far exceeds the current growth trend in Central Asia. The regulatory and financial environment in Central Asia also needs improvement. Moreover, given that Central Asia's exports and domestic consumption remain highly dependent on fossil fuels, the potential for renewable energy development is much less than in regions with higher production demand and stronger renewable energy incentives. (Translated by Yang Xuelai)

Original: toutiao.com/article/7589931530425500203/

Statement: The article represents the views of the author themselves.