Water Code of the Republic of Uzbekistan

Adopted: 30 July 2025
Entry into force: 31 October 2025

Key PPP-Related Provisions

The Water Code formally introduces the possibility of applying public-private partnership mechanisms within the sphere of water relations.

The purpose of the introduced amendments is to facilitate the implementation of long-term projects relating to the development, implementation and financing of new water management infrastructure, as well as the modernisation of existing infrastructure.

The legislation establishes a requirement for mandatory competitive procedures (tenders) when transferring relevant facilities or assets.

The private partner shall be responsible for:

• managing all water management facilities within the relevant service area;

• providing services to water users within the established limits;

• ensuring comprehensive reporting in relation to water use; and

• facilitating the modernisation of infrastructure facilities.

Summary

The adopted amendments legislatively expand the opportunities for private sector participation in a strategic sector, namely water management, thereby creating additional avenues for attracting investment into water supply and irrigation infrastructure.

Implementation of these mechanisms will require the adoption of subordinate legislation detailing the procedures for the selection of private partners, technical and operational requirements applicable to infrastructure assets, and tariff-setting matters.

At present, the relevant subordinate regulatory framework remains subject to further development and approval by the Government.

Resolution of the President of the Republic of Uzbekistan No. 226

Adopted: 18 July 2025
Entered into force: 21 July 2025

Key PPP-Related Amendment

As part of the approved action plan, an initiative has been introduced to review the existing requirement mandating the approval of the Cabinet of Ministers for the termination of PPP agreements relating to projects exceeding USD 10 million in value, including where termination is initiated by the private partner.

The formal legislative implementation of this measure is expected to enhance legal certainty and predictability for all participants in PPP projects.

Reducing administrative barriers associated with withdrawal from PPP agreements is intended to minimise regulatory risks, which constitutes an important consideration for both investors and financing institutions when making investment decisions.

At present, the relevant provision remains declaratory (programmatic) in nature and is subject to further legal formalisation.

For practical implementation, corresponding amendments to the legislative framework governing PPPs, or the adoption of specialised subordinate нормативно-правовые акты, will be required.