Kazakhstan’s National Infrastructure Plan Through 2029
The plan covers 204 projects in four infrastructure areas: energy infrastructure — 46 projects; transport infrastructure — 59 projects; infrastructure…
Contents
The infrastructure plan covers 204 projects across four areas
- energy infrastructure — 46 projects;
- transport infrastructure — 59 projects;
- water supply and wastewater infrastructure — 89 projects;
- digital infrastructure — 10 projects.
The plan includes commissioning new capacity to meet growing electricity demand. Construction of new power plants and modernization of existing ones are on List A for several reasons:
- they provide reliable electricity and heat to the population;
- they support essential facilities;
- they are critical to national economic development;
- they reduce dependence on imported energy and strengthen energy security;
- they reduce the risk of emergencies.
The plan also aims to complete major renewable energy projects by 2029 with international strategic partners including Total Eren, Masdar, ACWA Power, and China Power International Holding. These leading renewable energy companies have expressed interest in investing in Kazakhstan, contributing to economic development and increasing the renewable energy share.
A project to modernize district heating networks across Kazakhstan is also planned, which should reduce network deterioration.
Expected results of the energy plan
- deterioration of generating capacity decreases to 47% by 2029 (53% in 2024);
- electricity capacity shortages are eliminated by 2029;
- renewable electricity reaches 12.5% of total generation by 2029 (6% in 2024);
- commissioned generating capacity, including storage, reaches 14.785 GW by 2029 (0.695 GW in 2024);
- deterioration of heating networks decreases to 43% by 2029 (52% in 2024).
Plans include expanding the Kenkiyak–Atyrau pipeline in reverse mode from 6 million to 15 million tons a year and the Kenkiyak–Kumkol pipeline from 10 million to 20 million tons a year.
In rail infrastructure, projects to stimulate transit growth and meet domestic transport demand include construction, reconstruction, and modernization of major sections such as Dostyk–Moyynty and Darbaza–Maktaaral, an Almaty bypass railway, the Bakhty rail crossing on the China border, and other projects.
Aviation projects include reconstructing terminals and runways at several airports, including Shymkent Airport, one of the country’s key hubs.
In addition, 67 projects will build or modernize treatment facilities to help preserve water quality and protect the environment. Construction of 19 new reservoirs is also planned.
The plan also includes measures for manufacturing, digital development, and other areas.
Funding needs for the 204 projects total 40.1 trillion KZT, including
- national budget — 1 trillion KZT;
- National Fund — 0.5 trillion KZT;
- local budgets — 2 trillion KZT;
- non-budgetary funds — 36.6 trillion KZT.
Specific financing sources will be determined after the relevant reviews and assessments are completed during the investment phase.
Expected Economic Benefits of the Plan
- The total contribution to gross value added (GVA) from implementation is estimated at 24.6 trillion KZT.
- The average contribution to GDP growth is expected to be 2.3% (1.6% in 2024).
- One multiplier effect is the creation of about 150,000 jobs, including 26,582 permanent and 120,355 temporary positions.
“Meeting domestic value indicators will reduce reliance on global markets, while regulating the materials planned for use in these projects will encourage manufacturers to establish new and additional production facilities and explore offtake agreements during the investment and implementation stages,” the document’s authors believe.