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STRATEGY OF THE TRANSITION TO A GREEN ECONOMY OF THE REPUBLIC
OF UZBEKISTAN: PROBLEMS AND MODERN SOLUTIONS
Aman T. Kenjabaev
professor, Head of Marketing and Digital Economy Department, Graduate School of Business
and Entrepreneurship under the Cabinet of Ministers of the Uzbekistan
Nodir N. Khusanov
of the Graduate School of Business and Entrepreneurship under the Cabinet of Ministers of the
Republic of Uzbekistan
Abstract
: This article discusses the regulatory and legal foundations of the Republic of
Uzbekistan's transition strategy to a "green" economy, existing problems and their tasks, and
modern solutions.
Key words:
green economy, environmental crisis, energy resources, natural resources, "smart"
agriculture, climate change, green technologies.
Introduction:
Uzbekistan has achieved a positive level of economic development to date, and long-term
regulatory documents such as the Resolution of the President of the Republic No. PP-4477 dated
October 4, 2019, “Strategy of the Transition to a “Green” Economy of the Republic of
Uzbekistan for the Period 2019-2030” and the Decree of the President of the Republic of
Uzbekistan No. PF-158 dated September 11, 2023 “On the Strategy of Uzbekistan - 2030”
approved tasks for achieving environmental security and set out a number of achievable plans.
The resolution notes that accelerating industrialization and year-on-year population growth are
significantly increasing the economy's need for various resources, as well as intensifying the
negative anthropogenic impact on the environment and leading to an increase in greenhouse gas
emissions. To increase the energy efficiency of the economy , rational use of natural resources ,
modern technologies Introducing and expanding the participation of small businesses in
providing innovative solutions for the development of the "green economy" is one of the most
important steps in achieving the country's priority national goals and objectives in the field of
sustainable development . Measures based on a systematic mechanism for the introduction of
"green" technologies and the transition to a "green" economy will ensure the transition to a
"green" economy , including:
- increasing the energy efficiency of the economy and rational use of natural resources through
technological modernization and development of financial mechanisms;
- inclusion of "green" criteria based on advanced international standards in the priorities of state
investments and expenditures;
- to promote the implementation of pilot projects in the areas of transition to a "green" economy
through the development of state incentive mechanisms, public-private partnerships, and
intensified cooperation with international financial institutions;
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-Development of a system of training and retraining of personnel related to the labor market in
the "green" economy by encouraging investments in education and developing cooperation with
leading foreign educational institutions and research centers;
- taking measures to mitigate the negative impact of the environmental crisis on the island;
-diversification of energy resource consumption and development of the use of renewable energy
sources;
- adapting to the consequences of climate change and mitigating them, increasing the efficiency
of natural resource use and protecting natural ecosystems;
-Development of financial and non-financial mechanisms to support "green" economy.
The depletion of natural resources in the world in the process of globalization requires the
development of a system for assessing changes in them. Due to the different approaches of
different countries in implementing the principles set out in the treaties adopted by the United
Nations Framework Convention on Climate Change, the Kyoto Protocol and the Paris
Agreement, some problems are arising in this area around the world. Countries with a positive
attitude towards nature are currently choosing the path to take their economies to a new level and
build a "green" economy . The main goal of the green economy is to develop all sectors of the
economy while preserving the ecology of our planet. The green economy is considered a new
direction of economic activity based on the implementation of further development of the
economy related to the production and service sectors, while preserving the resources necessary
for human life and health, the environment and ecology as a whole .
adopted a document on sustainable development by 2030 , which includes 17 goals and 169
targets aimed at saving and securing the planet's resources for sustainable development, poverty
eradication, and achieving prosperity .
Literature review:
Conceptual foundations and reforms of the green economy , factors influencing environmental
taxation , ways of applying environmental taxes in practice , and some aspects of the importance
of financial mechanisms in ensuring environmental security were discussed by foreign scholars
A. Pigou, A. Auerbach, M. Feldstein, B. Bosquet, L. Bovenberg, H. Goulder, D. Pearce, S.
Gallagher, E. Muehlegger, D. Diamond, A. Ibrahim, T. Kenji, E. Tim, I. Mallika, P. Gian, R.
Alekh, Janet E. Milne and Mikael Skow Andersen, E. Morgenrose, M. Murphy, A. Moore, Ch.
Ashish, S. Manjiit, B. Abhijit and A. Rachnalar 1 as well as Russian O. A. Grajdankina, O.
Shimova, N. Sokolovsky, N.F. It was studied in the scientific works of scientists such as Reimers.
1 A. Pigou "The Economics of Welfare" 1920.; A. Auerbach, M. Feldstein "Environmental
Taxation and Regulation," in Handbook of Public Economics, 2002.; B. Bosquet "Environmental
Tax Reform: Does It Work? A Survey of the Empirical Evidence," 2000, pp. 19-32.; L.
Bovenberg, H. Goulder "Optimal Environmental Taxation in the Presence of Other Taxes:
General Equilibrium Analyzes," The American Economic Review, 1996. pp. 985–1000.; D.
Pearce "The Role of Carbon Taxes in Adjusting to Global Warming", The Economic Journal 101,
1991. pp. 938–48.; S. Gallagher, E. Muehlegger, "Giving green to green? Incentives and
consumer adoption of hybrid vehicle technology," Journal of Environmental Economics and
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Management 61, 2011. pp.1-15.; D. Diamond "The impact of government incentives for hybrid-
electric vehicles: Evidence from US states" Energy Policy 37, 2009. pp. 972-983.; A. Ibrahim, T.
Kenji "Effects of Tax Incentives on Sales of Eco-Friendly Vehicles: Evidence from Japan" 2014.;
E. Tim, I. Mallika, P. Gian and R. Alex, "Economic Growth and the Environment" 2014.; Janet
E. Milne, Michael Skow .The scientific works of Uzbek economists B. Isroilov, I. Niyazmetov,
G. Safarov, Sh. Jalilov, Kh. Bazarov, D. Kurbanov, A. T. Kenzhabayev, D. Kh. Suyunov, G. A.
Safarov, B. Alikhonov, S. Samoilov and N. Ibragimova, and others have studied the role of fiscal
mechanisms in the rational use of natural resources in the green economy, based on various
approaches to environmental security and sustainable economic development.
Analysis and methods:
To date, Uzbekistan has also acceded to eleven international conventions, agreements and seven
multilateral international agreements within their framework in the field of environmental
protection. An analysis of the development of a “green” economy in the Republic of Uzbekistan
has shown that there are interconnected problems and needs in ensuring an efficient, resource-
efficient and environmentally safe economy in the context of climate change. Industrialization
and population growth are significantly increasing the economy's demand for natural resources,
as well as increasing the negative impact on the environment.
The low level of energy efficiency of the economy, the irrational use of natural resources, the
slow pace of technological innovation, and the insufficient participation of small businesses in
the introduction of innovative solutions for the development of the "green economy" are
hindering the sustainable development of Uzbekistan. In particular, in the regions, there is a lack
of effective green economy mechanisms, a lack of relevant skills among personnel, and a low
level of cultural awareness of the population regarding the environment and the "green"
economy. The lack of a long-term strategy in the country for many years has prevented the
implementation of systematic measures to introduce "green" technologies and transition to a
"green" economy. In connection with Uzbekistan's accession to the Paris Agreement, a state
strategy for the transition to a "green economy" has been developed. A number of projects are
being implemented in our country in this direction to introduce environmentally friendly,
resource-saving technologies.
, consistently implement the tasks set out in the Strategy of Actions in five priority areas of
development of the Republic of Uzbekistan for 2017-2021 , as well as to ensure the fulfillment
of the obligations of the Paris Agreement (Paris, December 12, 2015) and the transition of the
Republic of Uzbekistan to a "green" economy, thereby deepening structural changes in the
economy, modernizing and diversifying the basic sectors of the economy , and ensuring the
balanced socio-economic development of regions.
It is intended to modernize the infrastructure of industrial enterprises, increase energy
efficiency by at least 20 percent, and ensure their sustainability through the wider use of clean
and environmentally friendly technologies and industrial processes. It is planned to widely
introduce and develop renewable energy sources, and it is planned to increase the share of this
environmentally friendly energy in total energy production to 12 percent.
It is also planned to introduce the principles of "smart" agriculture, significantly increase the
efficiency of water use in all sectors of the economy, introduce drip irrigation technology on an
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area of up to 1 million hectares and increase the productivity of crops grown on them by 20-40
percent. In order to ensure food security, it is planned to achieve a neutral balance in terms of
land erosion and increase the average productivity of the main types of agricultural food
production by 20-25 percent. The Resolution of the President of the Republic of Uzbekistan No.
PP-436 dated December 2, 2022 provides target indicators for the transition to a "green"
economy and ensuring "green" growth in the Republic of Uzbekistan by 2030, we have
identified the main ones, and they are :
1. It is planned to reduce the amount of energy per unit of GDP (compared to 2021) by 22% in
2026, 27% in 2028, and 30% in 2030.2. It is planned to reduce the consumption of electricity in
industry, its share in total consumption to 23% in 2026, 21% in 2028 and 20% in 2030.
3. It is planned to build small solar photovoltaic power plants to 400.0 MW in 2026, 800.0 MW
in 2028 and 1500.0 MW in 2030.
4. It is planned to increase the reserves of trees and shrubs in the forest fund territories by 77.0
million m 3 in 2026, 85.5 million m 3 in 2028 and 92.3 million m 3 in 2030 .
5. Within the framework of the "Green Space" project, it is envisaged to expand green areas in
cities (in relation to the total area of the settlement) by 15.8% in 2026, 23.8% in 2028, and 30.0%
in 2030.
Conclusion:
In conclusion, it should be noted that the system of encouraging individuals to use alternative or
renewable energy will serve to ensure the widespread installation of this type of energy by the
population. The system of encouraging legal entities to use alternative or renewable energy will
lead to a reduction in the deficit in the country's energy balance and an increase in the amount of
alternative energy produced .
Encouraging the import of ecologically safe electric cars in order to reduce the polluting gases
emitted from vehicles into the environment will serve to support the green economy . As a result
of supporting the launch of the production of environmentally friendly electric and hybrid
vehicles in our country, the BYD plant was opened in the city of Jizzakh . Uzbekistan Factory”
combination enterprise to work to be sent Year 2024 during investment of the project first
in the phase work to release strength small knotty work he is in the yard 50 thousand grain
(later) It is planned to develop electric and hybrid vehicles (gradually increasing to 500 thousand
units per year) and create 1,000 new jobs for the local population . AI-80 to reduce pollutant
emissions into the environment It is necessary to gradually increase the excise tax rate on
branded gasoline and reduce the tax rate for gasoline products that meet the requirements of
Eurostandards .
As a result of stimulating the collection, transportation, sorting, and recycling of waste, many
enterprises engaged in this activity will open in the country, create competition among them, and,
most importantly, achieve the recycling of large volumes of waste. This will help save limited
natural resources and directly ensure the effective functioning of the green economy.
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184
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