Central Asian Buyers Turn From Russian Energy Firms As Money Worries Mount

Russia’s once-reliable stream of export power projects across Central Asia is showing signs of drying up, with buyers increasingly turning to Chinese and European suppliers after Moscow-linked companies hit funding snags.

Kazakh authorities recently handed the next phase of work at the Ekibastuz GRES-2 station to Harbin Electric International after a Russian financing package collapsed. The Chinese firm agreed to finish the unit for less than two-thirds of the price that had been on the table from Russian contractors, trimming the project bill by roughly $500 million for Kazakhstan.

The switch at Ekibastuz follows a string of setbacks last year when state-owned Inter RAO saw tenders for three thermal plants in Kokshetau, Semey and Oskemen slip away amid money shortfalls. Kazakh officials say the contracts were reassigned to Chinese companies after the Russian bidder failed to secure backing, underscoring a widening gap between Russian ambitions and delivery on the ground.

In Uzbekistan, authorities have begun talks with France’s Framatome about possible roles in nuclear work that Moscow’s Rosatom had been expected to carry out. Uzatom said discussions on March 9 focused on modern automated control systems for reactors, a sign that Tashkent is weighing alternatives rather than relying solely on Russian technology.

Local energy managers and analysts say the trend reflects both financing pressure inside Russia and a tougher market for state-linked contractors abroad. “When financing dries up, buyers move fast,” said Leyla Mukhamedova, an energy sector consultant in Almaty. “That’s a practical response from governments that need plants built on time and on budget.”

The shift could have broader geopolitical effects, trimming one of Moscow’s commercial levers in the region and giving fast-moving Chinese builders and Western vendors opportunities to gain ground. For consumers, the most immediate impact may be faster completion and lower costs; for Russia, it may mean losing a revenue stream that once seemed secure.