Tajikazot may be left with natural gas this year as well

QURGHON TEPPA, January 6, 2012, Asia-Plus  — Tojiktransgaz (Tajik state natural gas distributor) reportedly did not take into account requirements of the Sarband-based Tajikazot enterprise in natural gas while signing the agreement with Uztransgaz (Uzbekistan’s state gas producer) on gas shipments for 2012. The Tojiktransgaz head Saidahmad Sharofiddinov noted that the gas pipeline supplying natural […]

Sayrahmon Nazriyev

QURGHON TEPPA, January 6, 2012, Asia-Plus  — Tojiktransgaz (Tajik state natural gas distributor) reportedly did not take into account requirements of the Sarband-based Tajikazot enterprise in natural gas while signing the agreement with Uztransgaz (Uzbekistan’s state gas producer) on gas shipments for 2012.

The Tojiktransgaz head Saidahmad Sharofiddinov noted that the gas pipeline supplying natural gas to Tajikazot would not sustain the pressure needed for supplying natural gas to the enterprise.

“Our gas pipeline will not sustain the pressure of more than 5 atmospheres, while the pressure of at least 10 atmospheres is needed to supply natural gas to Tajikazot,” said Sharofiddinov.  “To add to this problem, some 30 kilometers of the gas pipeline in the Khuroson district are in a poor state despite repairs.”

He added that the government was currently considering several options to tackle the problem, including full replacement of the gas pipeline or construction of a new gas pipeline.

We will recall that according to the Tajikazot director general Tohirkhon Ghoziyev, Tojiktransgaz has reportedly refused to supply natural gas to Tajikazot, which is one of largest industrial enterprises in Khatlon province.  He noted in late December that they have applied to Tojiktransgaz for 65 million cubic meters of natural gas for 2012, “but the application has been refused.”

Tajikazot has not been in operation for already three years due to large tax and energy debts.  The enterprise resumed operations last summer but it operated only for eight days and then suspended its operations again because of lack of natural gas.

Last October, Tajikistan’s lower house (Majlisi Namoyandagon) adopted the law requiring amendments to the law on the national budget for 2011.  Under this law, the value added tax (VAT) for Tajikazot was reduced from 18 to nine percent.

Closed joint-stock company (CJSC) Tajikazot is the joint venture that was launched in March 2002 in cooperation with Highrock Holding Limited, the company registered in Cyprus in 2001.  The JV was established on the basis of the plant for producing nitrogen fertilizer (carbamide) that was constructed in Sarband in 1964.  Tajikistan owns 20 percent of the shares and Highrock Holding Ltd assumes the 80 percent ownership interest in Tajikazot.

The enterprise with capacity of producing 180,000 tons of carbamide per year also produced industrial oxygen, carbon dioxide, liquid ammonia and liquid nitrogen.      

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