CHAPTER 1 - INTRODUCTION AND BRIEF OVERVIEW
AMONG THE COUNTRIES OF THE FORMER SOVIET UNION, UZBEKISTAN'S ENVIRONMENT IS ONE OF THOSE WHICH HAS SUFFERED MOST, DUE TO ITS COTTON MONOCULTURE, AS WELL AS THE GENERAL OVERUSE AND MISUSE OF WATER RESOURCES FOR IRRIGATION. FURTHERMORE, SENSELESS APPLICATION OF CHEMICALS AND PESTICIDES IN AGRICULTURE HAVE NOT ONLY DAMAGED THE ENVIRONMENT, BUT HAVE ALSO HAD A VERY NEGATIVE IMPACT ON HEALTH OF POPULATION AND QUALITY OF WATER RESOURCES.
UZBEKISTAN SHARES BORDERS WITH ALL OF THE FOUR OTHER CENTRAL ASIA NATIONS AND IS AT THE CENTER OF THE REGION'S TRANSPORTATION AND POWER NETWORKS. APPROXIMATELY THREE- FIFTHS OF UZBEKISTAN'S LAND AREA IS DESERT STEPPE BROKEN BY IRRIGATED, FERTILE OASES ALONG THE BANKS OF TWO RIVERS, THE AMU DARYA AND SYR DARYA. IN UZBEKISTAN'S CENTRAL AREA, WHICH IS FED BY THE ZARAFSHAN AND SURKHANDARYA RIVERS, ARE LOCATED THE BUKHARA AND SAMARKAND AND NAVOI REGIONS. THESE REGIONS ARE RESPONSIBLE FOR THE LARGEST PERCENTAGE OF UZBEKISTAN'S COTTON PRODUCTION AND GOLD RESERVES. MOST OF THE COUNTRY'S TEXTILE PROCESSING FACILITIES ARE ALSO FOUND HERE, AS ARE THE LARGEST GAS AND OIL FIELDS. TO THE WEST LIES THE ECOLOGICALLY DAMAGED ARAL SEA DELTA AND THE VAST DESERTS WHICH CHARACTERIZE THE TERRITORY OF UZBEKISTAN'S REPUBLIC OF KARAKALPAKSTAN. OVERUSE OF THE RIVERS WHICH FEED THE SEA HAS ALREADY REDUCED IT TO TWO- THIRDS ITS SIZE AT THE BEGINNING OF THIS CENTURY, AND SALINIZATION OF THE AREA AROUND THE SEA THREATENS THE VIABILITY OF A REGION IN WHICH A MILLION PEOPLE LIVE. FINALLY, SAND AND SALT BLOWING FROM THE NOW DRY SEA LAKE BED THREATEN TO EXPAND THE REACH OF THE DESERT FAR DOWNWIND.
THE GOVERNMENT OF UZBEKISTAN HAS ALREADY ADOPTED NUMEROUS POLICIES TO IMPROVE ENVIRONMENTAL SITUATION IN THE COUNTRY, AND IN PARTICULAR IN THE ARAL SEA AREA. IN 1993, IT ALSO ESTABLISHED THE INTERNATIONAL ECOLOGY AND HEALTH FOUNDATION "ECOSAN" TO ASSIST IN THE IMPLEMENTATION OF LOCAL, REGIONAL, FEDERAL AND INTERNATIONAL PROGRAMS AND PROJECTS AIMED AT ESTABLISHING AND MAINTAINING AN ECOLOGICAL BALANCE. IN 1994, THE GOVERNMENT ADOPTED THE COMPREHENSIVE NATIONAL PROGRAM CALLED, "ECOLOGY AND HEALTH," WHICH WAS DESIGNED TO IMPLEMENT MEASURES FOR THE PROTECTION OF AIR AND WATER RESOURCES, EFFICIENT UTILIZATION OF LAND AND WATER RESOURCES, AND THE FURTHER DEVELOPMENT OF ECOLOGICAL AND MEDICAL EDUCATION.
CHAPTER 2 - MARKET SIZE
IN 1993, THE POPULATION OF UZBEKISTAN WAS ESTIMATED AT 22.2 MILLION, FORTY-ONE PERCENT OF WHICH WAS UNDER THE AGE OF 15. WITHIN THE TWELVE REGIONS (OBLASTS) OF UZBEKISTAN AND THE REPUBLIC OF KARAKALPAKSTAN THERE ARE 123 CITIES AND 157 RURAL REGIONS.
IT IS DIFFICULT TO ESTIMATE THE MARKET SIZE FOR ENVIRONMENTAL TECHNOLOGIES IN UZBEKISTAN. ACCORDING TO A WORLD BANK ASSESSMENT, NEARLY 85 PERCENT OF THE URBAN AND 52 PERCENT OF THE RURAL POPULATION HAVE ACCESS TO CENTRALIZED PIPED WATER, BUT IT IS OF VARIABLE QUALITY. APPROXIMATELY ONE-THIRD OF WATER SUPPLIED TO CITIES AND OVER HALF OF THAT PROVIDED TO VILLAGES DO NOT MEET GOVERNMENT STANDARDS, WHICH THEMSELVES ARE WELL BELOW WORLD HEALTH ORGANIZATION STANDARDS.
THE MARKET IN UZBEKISTAN FOR GOODS IN GENERAL, HOWEVER, IS GROWING. IMPORTS IN 1994 INCREASED BY 14.9 PERCENT OVER 1993. HOWEVER, FIGURES SPECIFICALLY FOR ENVIRONMENTAL TECHNOLOGY AND EQUIPMENT DO NOT EXIST. UZBEKISTAN'S OVERALL INCREASE IN EXPORTS, WHICH IN 1994 CLIMBED BY 10.3 PERCENT, AND 86.8 PERCENT IN TERMS OF HARD CURRENCY EXPORTS, WILL CONTINUE TO FUEL THE RISE IN IMPORTS.
CHAPTER 3 - MARKET ANALYSIS
1. AIR POLLUTION CONTROL
DUE TO THE USE OF COMPARATIVELY CLEAN BURNING GAS IN POWER GENERATION AND DOMESTIC HEATING, THE MAJORITY OF AIR QUALITY PROBLEMS ARE ASSOCIATED WITH INDUSTRIAL EMISSION AND MOTOR VEHICLE EXHAUST. ANOTHER SOURCE OF AIR POLLUTION IN THE WESTERN REGIONS OF UZBEKISTAN ARE THE VAST FORMER ARAL SEA AREAS EXPOSED TO THE WINDS, WHICH CREATE FREQUENT SALT AND DUST STORMS.
REPORTEDLY, 2.6 MILLION TONS OF POLLUTANTS, INCLUDING CARBON MONOXIDE, NITROGEN OXIDES, AND LEAD, ARE EMITTED FROM MOTOR VEHICLES. THE USE OF ONLY LEADED FUEL AND HEAVY DIESEL FUELS ALSO CONTRIBUTE GREATLY TO THE POOR AIR QUALITY. DOMESTICALLY PRODUCED CRUDE OIL AND LOCALLY REFINED PETROLEUM PRODUCTS, WHICH ACCOUNT FOR AN INCREASING SHARE OF TOTAL CONSUMPTION, ARE VERY HIGH IN SULFUR, RESULTING IN HIGH SULFUR DIOXIDE EMISSIONS. EVEN THOUGH THE GOVERNMENT HAS INITIATED SPECIAL INSPECTION FACILITIES FOR MONITORING MOTOR VEHICLE EMISSIONS, REQUIREMENTS ARE WELL BELOW INTERNATIONAL STANDARDS AND PENALTIES FOR NON-COMPLIANCE ARE INSIGNIFICANT. THE GOVERNMENT OF UZBEKISTAN RECENTLY DID ADOPT, HOWEVER, A DECREE TO IMPROVE THE INSPECTION STANDARDS AND INSPECTION EQUIPMENT.
INDUSTRIAL EMISSION IS ANOTHER MAJOR SOURCE OF AIR POLLUTION, RESPONSIBLE FOR UP ONE-THIRD OF UZBEKISTAN'S AIR POLLUTION. INDUSTRIAL POLLUTANTS, SUCH AS SULFUR DIOXIDE, COME FROM POWER PLANTS IN TASHKENT, NAVOI AND SIRDARYA REGIONS; HYDROCARBONS FROM NATURAL GAS FACILITIES AND THE PETROLEUM REFINERY IN FERGANA; AND HEAVY METALS FROM METALLURGICAL FACILITIES IN NAVOI AND TASHKENT REGIONS. MAJOR INDUSTRIAL CENTERS SUCH AS TASHKENT, NAVOI, FERGANA VALLEY ARE IN GREATEST NEED OF AIR FILTERS AND OTHER AIR POLLUTION CONTROL EQUIPMENT.
2. WATER/WASTEWATER TREATMENT
UNTREATED AND INSUFFICIENTLY TREATED WASTEWATER, CONTAINING CHEMICALS AND PESTICIDES, DISCHARGED INTO UZBEKISTAN'S RIVERS HAS SEVERALY DAMAGED THE COUNTRY'S WATER QUALITY.
THE SUPPLY AND QUALITY OF DRINKING WATER IN UZBEKISTAN ARE EXTREMELY DEFICIENT. ACCORDING TO THE MINISTRY OF HEALTH, ONLY 1,184 COMMUNITIES OUT OF 3,009 HAVE ACCESS TO POTABLE WATER. THE REMAINING COMMUNITIES USE OPEN RESERVOIRS WITHOUT SANITARY ZONES AND LACK CHLORINATION AND THE PROPER FILTRATION EQUIPMENT. THE ABSENCE OF ANY PIPED SOURCE OF POTABLE WATER IN MANY RURAL AREAS WORSEN THESE PROBLEMS. MUCH OF THE WATER SUPPLY INFRASTRUCTURE WAS BUILT YEARS AGO AND IS IN DESPERATE NEED OF REPAIR. ALTHOUGH THE GOVERNMENT OF UZBEKISTAN IS WORKING WITH NUMEROUS ORGANIZATIONS TO SECURE FINANCING FOR THE IMPROVEMENT OF THE COUNTRY'S DRINKING WATER SUPPLY, A GREAT DEAL REMAINS TO BE DONE.
PROBLEMS ALSO EXIST DUE TO INDUSTRIAL AND AGRICULTURAL WASTEWATER, PARTICULARLY RUNOFF FROM THE IRRIGATION CANALS. THE LEVELS OF FERTILIZER AND PESTICIDES USED IN UZBEKISTAN'S AGRICULTURE HISTORICALLY HAVE BEEN WELL ABOVE WORLD NORMS, POLLUTING BOTH LAND AND WATER. ONLY 230 INDUSTRIAL ENTERPRISES OUT OF 8,000 ARE CLASSIFIED BY THE GOVERNMENT AS NON-POLLUTERS. DURING THE WINTER MONTHS, WHEN THE LEVELS OF UZBEKISTAN'S RIVERS ARE LOWER, THE MINERALIZATION OF WATER IN THE AMU DARYA RIVER, ONE OF UZBEKISTAN'S MAIN SOURCES OF WATER, IS O.54-O.75 GRAMS PER LITER, COMPARED WITH 0.07 GRAMS PER LITER WHICH IS CONSIDERED A NORMAL LEVEL. THE GOVERNMENT OF UZBEKISTAN PLANS TO ENCOURAGE DEVELOPMENT OF BETTER EVIRONMENTAL TECHNOLOGIES IN AGRICULTURE AND INDUSTRY, AND HAS SET HIGHER STANDARDS FOR DISCHARGED WATER QUALITY, BUT SOMETHING NEEDS TO BE DONE NOW.
3. WASTE MANAGEMENT AND CONTAMINATED SOIL REMEDIATION
UZBEKISTAN LACKS A PROPER SYSTEM FOR THE DISPOSAL OF SOLID AND HAZARDOUS INDUSTRIAL WASTE. INDUSTRIAL CONGLOMERATES, MADE UP OF SMALLER ENTERPRISES, ARE NOT REQUIRED TO REPORT DATA ON WASTE TREATMENT AND DISPOSAL. THE HIGHEST LEVELS OF INDUSTRIAL AND TOXIC WASTE ARE FOUND IN UZBEKISTAN'S INDUSTRIAL AREAS, SUCH AS THE TASHKENT (ALMALIK METALLURGY PLANT), FERGANA (OIL REFINERY), AND NAVOI PROVINCES (CHEMICAL AND METALLURGY PLANTS). THE GOVERNMENT OF UZBEKISTAN RECENTLY ADOPTED A COMPREHENSIVE PROGRAM WITH THE SPECIFIC OBJECTIVE OF IMPROVING RESIDENTIAL AND INDUSTRIAL WASTE MANAGEMENT. ACCORDING TO THIS PROGRAM, BY THE YEAR 2005, THE GOVERNMENT PLANS TO COMPLETE THE CONSTRUCTION 0F A WASTE PROCESSING PLANT, AS WELL AS LANDFILLS AND STORAGE FACILITIES FOR PESTICIDES, TOXIC WASTE, AND RESIDENTIAL WASTE. INADEQUATE DRAINAGE OF IRRIGATED LAND HAS ALSO RESULTED IN HEAVY BUILD-UP OF SALTS IN THE SOIL, REQUIRING FLUSHING OF THE FIELDS TO KEEP THEM ARABLE.
CHAPTER 4 - MARKET OPPORTUNITIES FOR U.S. FIRMS
DUE TO THE POOR QUALITY OF DRINKING WATER, FILTRATION SYSTEMS AND FILTERS FOR INDIVIDUAL HOUSEHOLDS ARE SEEN AS VERY GOOD PROSPECTS FOR AMERICAN COMPANIES. AS ALREADY POINTED OUT, MANY OF THE WATER TREATMENT FACILITIES WERE BUILT YEARS AGO AND, ALONG WITH MONITORING AND CONTROL SYSTEMS AT WASTE AND WASTEWATER TREATMENT FACILITIES, ARE IN NEED OF REPAIR.
ALMOST ALL OF UZBEKISTAN'S HEAVY INDUSTRY IS IN NEED OF SULFUR SCRUBBERS AND OTHER AIR POLLUTION CONTROL DEVICES. UNFORTUNATELY, MANY OF THE LARGE, STATE-OWNED INDUSTRIAL FACILITIES MENTIONED ABOVE ARE FACING VERY DIFFICULT FINANCIAL CIRCUMSTANCES AND ARE, THEREFORE, UNLIKELY TO BE ABLE TO PAY FOR ENVIRONMENTALLY-FRIENDLY TECHNOLOGY THEMSELVES. HOWEVER, BILATERAL AND MULTILATERAL DONORS INVOLVED IN THE RESTRUCTURING OF UZBEKISTAN'S ECONOMY OFTEN INCLUDE IN THEIR PROJECTS ENVIRONMENTAL COMPONENTS OR EVEN REQUIREMENTS FOR ENVIRONMENTAL IMPACT STUDIES. LARGE INTERNATIONAL COMPANIES INTERESTED IN DEVELOPING UZBEKISTAN'S CONSIDERABLE MINERAL AND AGRICULTURAL RESOURCES ALSO MAY PROVIDE MARKET OPPORTUNITIES FOR ENVIRONMENTAL FIRMS. AMONG THE POSSIBILITIES ARE:
-- THE GOVERNMENTS OF CENTRAL ASIA ARE CURRENTLY WORKING
WITH THE UN, WORLD BANK, AND OTHER INTERNATIONAL DONORS ON A COMPREHENSIVE
STRATEGY TO ADDRESS THE ARAL SEA DISASTER. DONOR-FUNDED PROJECTS TO IMPROVE
WATER SUPPLY, SANITATION, AND HEALTH MAY PROVIDE ADDITIONAL PROJECT OPPORTUNITIES.
FOR EXAMPLE, AN AMERICAN COMPANY, CH2MHILL, WITH USAID FUNDING, IS UPGRADING
THE WATER TREATMENT FACILITIES IN TWO CITIES, URGENCH AND NUKUS, BOTH LOCATED
NEAR THE ARAL SEA.
-- A COTTON REHABILITATION LOAN EXTENDED BY THE WORLD
BANK MAY PROVIDE OPPORTUNITIES FOR FIRMS WITH EXPERIENCE IN PROVIDING EFFICIENT
IRRIGATION, PEST CONTROL AND FERTILIZER REGIMES. THE WORLD BANK IS ALSO DISCUSSING
A "WEST BANK DRAINAGE" PROJECT THAT WOULD ADDRESS THE PROBLEMS OF WATERLOGGED
AND SALT- DAMAGED FARMLAND AND THE NUMEROUS, POLLUTED IRRIGATION RUNOFF RESERVOIRS
SCATTERED AROUND UZBEKISTAN.
-- A PROPOSED EBRD/JAPANESE EXIMBANK PROJECT TO
REHABILITATE THE FERGANA REFINERY WILL INCLUDE A SIGNIFICANT ENVIRONMENTAL
COMPONENT TO ADDRESS SOIL AND GROUNDWATER CONTAMINATION AROUND THE REFINERY.
-- FOREIGN COMPANIES INTERESTED IN EXPLOITING THE GAS
AND OIL RESERVES AT SUCH FIELDS AS KOKDUMALAK, SHURTAN, AND MINGBULAK MAY
BE INTERESTED IN TECHNOLOGIES TO DEAL WITH THE HEAVILY SULFUR- CONTAMINATED
PETROCARBONS FOUND IN THIS FIELDS.
-- MANY FOREIGN COMPANIES ARE INVOLVED IN OR SEEKING
GOLD MINING JOINT VENTURES. SUCH COMPANIES MAY BE INTERESTED IN TECHNOLOGIES
TO REDUCE GROUNDWATER CONTAMINATION, PARTICULARLY FROM THE CYANIDE COMPOUNDS
USED IN PROCESSING THE GOLD.
CHAPTER 5 - MAJOR CONTACTS IN-COUNTRY IN ENVIRONMENTAL AREAS
AMERICAN EMBASSY, TASHKENT
FOREIGN COMMERCIAL SERVICE
82, CHILANZARSKAYA STREET
TASHKENT, UZBEKISTAN 700115
TEL: (7-3712) 77-14-07
FAX: (7-3712) 89-13-35
CONTACT: MR. JOHN D. BREIDENSTINE
SENIOR COMMERCIAL OFFICER
AMERICAN EMBASSY TASHKENT
UNITED STATES AGENCY FOR INTERNATIONAL DEVELOPMENT 41 BUYUK TURON
TASHKENT, UZBEKISTAN 700000
TEL: (7-3712) 33-84-78
FAX: (7-3712) 33-70-96
CONTACT: MR. DAVID MANDEL
COUNTRY REPRESENTATIVE
INTERNATIONAL ECOLOGY AND
HEALTH FOUNDATION "ECOSAN"
1, ABDULLA TOKAI STREET
TASHKENT, UZBEKISTAN 700000
TEL: (7-3712) 33-43-66, 34-95-07
FAX: (7-3712) 34-24-88
CONTACT: MR. YUSSUFJON SHODIMETOV
PRESIDENT
MINISTRY OF HOUSING AND MUNICIPAL ECONOMY 1, URITSKI STREET
TASHKENT, UZBEKISTAN 700187
TEL: (7-3712) 35-80-34
CONTACT: MR. ERKIN YULDASHEV
DEPUTY MINISTER
STATE COMMITTEE ON NATURE PROTECTION (GOSKOMPRIRODA) 5A, ABDULLA KODIRIY STREET
TASHKENT, UZBEKISTAN 700128
TEL: (7-3712) 41-49-23
FAX: (7-3712) 41-39-90
CONTACT: MR. VLADIMIR KONUKHOV
DEPUTY CHAIRMAN
TASHKENT SCIENTIFIC RESEARCH INSTITUTE FOR WATER GEOLOGY STATE COMMITTEE ON
NATURE PROTECTION (GOSKOMPRIRODA) TEL: (7-3712) 45-27-52
CONTACT: MR RAHMATULLA HABIROV
DIRECTOR
ECOLOGY AND WATER MANAGEMENT CENTER
STATE COMMITTEE ON NATURE PROTECTION (GOSKOMPRIRODA) TEL: (7-3712) 55-25-39
CONTACT: MR. RUSTAM ROZAKOV
DIRECTOR
MINISTRY OF WASTEWATER MANAGEMENT
TEL: (7-3712) 41-13-53
CONTACT: MR. RIM ABDULLAEVICH GINIATULLIN
MANAGER
BVU - RIVERS MANAGEMENT DEPARTMENT
TEL: (7-3712) 65-82-42 (DIRECT)
(7-3712) 65-82-46
FAX: (7-3712) 65-73-45
CONTACT: MR. MAHMUD HAMIDOV
HEAD
WATER PROBLEMS INSTITUTE OF THE ACADEMY OF SCIENCES TEL: (7-3712) 33-83-88
CONTACT: MR. NADJIM HAMRAEV
DIRECTOR
HYDROMETEOROLOGY OF UZBEKISTAN
2, OBSERVATORY STREET
TASHKENT, UZBEKISTAN
TEL: (7-3712) 33-61-80
CONTACT: MR. VICTOR CHUB
HEAD
INTERNATIONAL COUNCIL ON THE ARAL SEA PROBLEMS 5A ABDULLA KADIRI STREET
FIFTH FLOOR
TASHKENT, UZBEKISTAN
TEL: (7-3712) 41-57-19
CONTACT: MR. YURI BOBKO
DIRECTOR
WATER RESOURCES, SOIL AND WATER SCIENCE INSTITUTE TEL: (7-3712) 65-09-55
(7-3712) 65-03-50
FAX: (7-3712) 65-25-57
CONTACT: MR. VIKTOR DUKHOVNY
GENERAL DIRECTOR
CHAPTER 6 - COMPETITORS IN THE MARKET
THERE ARE CURRENTLY A NUMBER OF ENVIRONMENTAL PROJECTS UNDER WAY, AND MORE WHICH COULD COME ON LINE DURING 1996, INVOLVING AMERICAN, SWISS, GERMAN, FRENCH AND JAPANESE COMPANIES. WE ARE AWARE OF ONLY ONE COMPANY BY NAME, HOWEVER, THE AMERICAN FIRM, CH2MHILL, WHICH SUPPLIED THE EQUIPMENT AND TECHNOLOGY FOR THE UPGRADE OF WATER TREATMENT FACILITIES IN URGENCH AND NUKUS. WE HAVE CONTACTED VARIOUS MINISTRIES AND AGENCIES WHICH ARE WORKING IN COOPERATION WITH THE WORLD BANK AND EUROPEAN COMMMUNITY ON ENVIRONMENTAL PROJECTS. UNFORTUNATELY, WE WERE UNABLE TO OBTAIN THE NAMES OF FIRMS INVOLVED.
CHAPTER 7 - LIST OF TRADE EVENTS
WE ARE NOT AWARE OF ANY ENVIRONMENTAL TECHNOLOGIES TRADE
EVENTS SCHEDULED AT THIS TIME IN UZBEKISTAN.