The Ministry of Energy and Water Resources is responsible for the country’s water and energy resources, managing water, and energy policies to plan the development of these resources, their management and regulation, capacity building, and exercising state control over rational use and protection of water resources. MEWR is responsible for facilitating investments and concession agreements in the energy sector and acts as a leading authority in national dialog and policy-related issues.

The Ministry of Economic Development and Trade is responsible for strategies for socio-economic development, working with the state programs to develop internal and external investments. It is a regulator for Barqi Tojik’s tariffs through Anti-monopoly service, and is responsible for sectoral and regional development programs, principles and mechanisms for economic reforms.

The Ministry of Finance is responsible for assigning the budgets for state-owned companies and other organizations and processing debts and financing for multilateral institutions.

The power sector presented by state company OJHC “Barqi Tojik” state electricity utility responsible for generation, OJSC “Shabaqahoi Intiqoli barq” – responsible for transmission, OJSC “Shabaqahoi Taqsimoti Barq” responsible for the distribution, three independent power producers (IPPs), and a concession in Gorno-Badakhshan Autonomous Oblast (GBAO) combining power generation and distribution. Two of the IPPs – Sangtuda-1 and Sangtuda-2 hydropower plants (HPPs) – were constructed with investments from Russian and Iranian state-owned companies and supply electricity to BT under 20-year Power Purchase Agreements (PPAs). The third IPP – Rogun HPP – is under construction. Pamir Energy Company (PEC) generates and supplies electricity to around 245,000 people in GBAO under a 25-year concession agreement.

Unbundling of vertically integrated energy company Barqi Tojik responsible for generation, transmission, dispatch and distribution become possible through the reforms initiated by the Government. The Government planned restructuring for over a decade. Its decree #431 On an Individual Plan for Restructuring of BT adopted in 2011, and the Resolution #234 passed in 2018, provided the basis for unbundling BT into three separate entities in 2019-2021. The main objective of unbundling is to improve operational and financial performance by clearly defining the technical boundaries of assets along the value chain and improving the financial discipline, including the involvement of a management contractor for electricity distribution.