Uzbekistan is investing around $6 billion to build SAF

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On April 10, it was reported that Uzbekistan’s Allied Biofuels FE LLC and the Government of the Khorezm Region officially signed a legally binding Project Implementation Agreement (PIA), marking a crucial step forward in the development of clean energy in Central Asia. This agreement is supported by a decree from the President of Uzbekistan, and the project is incorporated into the system of special economic zones, where it benefits from tax reductions and favorable tariff incentives, thereby providing long-term and stable institutional support for its development. The project will build Central Asia’s first integrated biofuel refinery, focusing on the production of sustainable aviation fuel (SAF), electro-synthesized aviation fuel (e-SAF), and green diesel, which holds significant importance for the industry and for emission reduction. Upon completion, the project is expected to produce approximately 160,400 tons of SAF, 257,000 tons of e-SAF, and 5,040 tons of green diesel annually. The total investment in the project is approximately $6.08 billion, with a construction period of five years. It is one of the largest clean energy infrastructure projects in the region. The project reflects Uzbekistan’s strategic commitment to energy transition and the development of green industries; it is also expected to enhance the country’s position in the global low-carbon fuel supply chain.