CHINA: An Introduction to Energy & Natural Resources (PRC Firms)
The Power of Technology, Finance and Legal Synergy: How Chinese Lawyers Tackle the “Institutional Framework” of Central Asia's Clean Energy Transition
Executive summary
Chinese enterprises encounter cooperative opportunities in renewable energy across Central Asia. This article takes the legal service provided regarding a 500MW photovoltaic greenfield investment project in Uzbekistan (the “Project”) as a case study. The ongoing power sector system reform and institutional reform creates policy challenges, prompting Chinese lawyers to evolve from contract reviewers into “policy risk decoders” and “transaction structure innovators”. By deeply interpreting local regulations, they now provide investors with risk mitigation solutions to ensure project materialisation.
In the context of the escalating climate crisis, Uzbekistan, the highest carbon emitter in Central Asia, has updated its Nationally Determined Contributions (NDCs) and set a renewable energy development path, aiming for 8GW of installed wind and solar capacity by 2026, and 27GW by 2030 (more than 40% of total capacity). In terms of policy support, Uzbekistan has introduced incentives including competitive auction mechanisms and tax concessions to enhance the attractiveness of investment in renewable energy projects; also, the country is actively advancing its power sector system and institutional reform.
As a major investor in Central Asia, China is promoting the development of local renewable energy through innovative cooperation models and financial tools (such as green bonds), creating a diversified pattern with both state-owned and private enterprises participating.
Power sector system and institutional reform and legal risk mitigation
A central state-owned enterprise began developing a 500MW photovoltaic Independent Power Producer (IPP) project in Uzbekistan in 2024. Sunshine Law Firm formed a cross-border legal service team to provide comprehensive legal services for the project.
In previous similar projects in Uzbekistan, National Electric Grid of Uzbekistan (NEGU) was the sole power purchaser in the renewable power sector. Power producers entered into power purchase agreements with NEGU, specifying terms for electricity procurement/sale, construction and ownership transfer of grid connection facilities, and grid service fees. Effective 1 July 2024, Uzbekistan implemented an electricity sector reform and established JSC “Uzenergosotish” (the “Offtaker”) to offtake electricity from all power generation projects, replacing NEGU as the power purchaser under the power purchase agreements. NEGU now solely performs transmission service functions. Consequently, power producers must execute standalone transmission connection agreements with NEGU, stipulating matters related to the construction, commissioning and grid integration of project interconnection facilities.
This project is one of the pioneer projects following the power sector system reform and institutional reform. The Project’s project company (“Project Company”) has signed a 25-year power purchase agreement (PPA) with the Offtaker and a transmission connection agreement (TCA) with NEGU.
A key issue is that the Offtaker asserted that TCA was signed by NEGU; therefore, it would bear no liability under the TCA. Consequently, if NEGU failed to fulfil its obligations under the TCA – such as delaying grid access permissions, withholding feeding authorisation or causing generation losses due to grid infrastructure failures – the Offtaker would disclaim all liability, while the Project Company might claim damages from NEGU for breach of contract. However, given that NEGU no longer performs power procurement functions and provides no payment guarantees, it is difficult for the project company to claim breach of contract from NEGU.
The Sunshine team proposed setting up a cross-default provision under both the PPA and the TCA, which would treat NEGU’s breach under the TCA as a “Buyer Risk Event” under the PPA, triggering the corresponding remedies under the PPA. This would ensure that grid curtailment events triggered default provisions in both agreements.
For example, under the TCA, it is stipulated that if a “National Transmission Company Risk Event” occurs before the commercial operation date (COD) (including failure to energise the transmission system to start or provide the required power for the power plant, delays or issues in synchronising the plant with the grid, delays in the transmission system testing phase affecting the project timeline, urgent situations in the transmission system that significantly impact system operation, or breach of contract by NEGU), resulting in a delay in the COD, NEGU shall, in accordance with the terms of the PPA, pay the Project Company an amount deemed as generation fees (deemed generation payment), which will also trigger the cost compensation mechanism.
The Sunshine team simultaneously proposed that, as both the land lease agreement (LLA) and the PPA are project agreements signed with the Uzbek government and state-owned enterprises, a cross-default provision should be set up to ensure that in the event of a default by the Ministry of Energy under the LLA, the Project Company would be entitled to corresponding remedies under the PPA. For example, if the LLA is terminated due to a reason other than a “Seller Event of Default”, this should constitute a “Buyer Event of Default” under the PPA, triggering the corresponding termination compensation mechanism.
Through multiple rounds of negotiations, the Uzbek government ultimately accepted the cross-default arrangement proposed by the Sunshine team, ensuring the alignment of the project agreements, reducing project risks and improving the financing viability.
Summary and outlook
In cross-border investment projects, it is essential to closely monitor changes in the host country’s legal environment, anticipate risks and incorporate flexible provisions into agreements, especially focusing on the impact on the project of government policies and industry regulations. This ensures sustainability and risk control. Chinese enterprises can deepen cooperation with Central Asian countries in renewable energy by exporting technology standards, innovating financing and investment models, and leveraging professional support from law firms. This not only promotes regional energy transition but also expands the Chinese market, enhances international influence, and provides a practical example for global sustainable development.
技术、金融、法律协同的力量
-中国律师如何破解中亚清洁能源转型的“制度密码”
本文概要：中国企业在中亚国家可再生能源领域面临重要机遇。以乌兹别克斯坦某500MW光伏绿地投资项目为例，当地电力体制改革带来政策挑战，促使中国律师角色从合同审查升级为“政策解码”和“交易创新”，通过深度理解当地法规为投资者提供风控方案，确保项目落地。
在气候危机加剧的背景下，乌兹别克斯坦作为中亚碳排放量最高的国家已更新国家NDC目标并设定可再生能源发展路径：拟2026年实现风光装机8GW，2030年增至27GW（占比超40%）。政策支持方面，乌国推出竞拍机制、税收优惠等激励措施，以增强可再生能源投资吸引力；同时也在积极推进电力体制改革。
中国作为中亚主要投资国，通过创新合作模式和金融工具（绿色债券等），推动当地可再生能源发展，形成国企民企协同参加的多元化格局。
在中亚地区，阳光所凭借深厚的专业知识和对当地法律环境的深刻理解，成功参与了多个新能源项目。阳光所服务对象主要为项目开发商、投资人、建设承包商、融资机构与中国出口信用保险公司。服务内容包括法律环境调查、法律尽职调查、相关方背景调查、项目结构设计、合同起草与谈判、政府审批、公司设立、交易交割、项目融资、工程建设、以及其它法律合规咨询等。项目团队成员能够熟练处理涉及多个国家法律和国际公约的复杂法律问题，确保项目的顺利进行。
电力体制改革与应对
某央企于2024年起在乌兹别克斯坦开发500MW光伏IPP项目，阳光所组建跨境法律服务团队为项目提供了全过程法律服务。
在以往该国类似项目中，国家电网公司（JSC National Electric Grid of Uzbekistan，NEGU）是电力行业唯一的购电方，发电商通过与NEGU签订购电协议同时约定购售电、并网设施的建设转让、并网费等事项。2024年7月1日起，乌国实施电力体制改革并设立国家电力公司JSC "Uzenergosotish"以承购所有电力，代替NEGU成为购电协议项下购电方。NEGU仅承担输电服务职能，因此发电商需另行与NEGU签订单独的并网协议，约定项目并网设施的建设、调试、并网等相关事宜。本项目即为电力体制改革后的首批项目，项目公司分别与国家电力公司签订25年《购电协议》、并与NEGU签订《并网协议》。一个焦点问题即是，国家电力公司主张《并网协议》由NEGU签署，国家电力公司并不承担《并网协议》项下风险，因此如果NEGU未能履行《并网协议》项下责任，如未及时允许项目并网、授予倒送电或者由于电网设施故障影响项目发电，国家电力公司不承担相应责任，项目公司可要求NEGU承担违约责任。但是，鉴于NEGU不承担购电职能，亦没有提供任何支付担保，项目公司向NEGU主张违约责任相对困难，阳光所提出应在《购电协议》《并网协议》项下设置交叉违约的安排，即应将NEGU在《并网协议》下的违约作为《购电协议》下的“购电方风险事件”，触发《购电协议》下的相应救济，以确保电网限电事件同时触发两个协议中的违约条款。例如，在《并网协议》项下，约定了当发生商业运营日前的国家电网公司风险事件（包括输电系统无法启动或无法为电站提供所需电力、电站与电网同步时发生延误或问题、输电系统测试阶段出现延误影响项目进度、输电系统内发生紧急情使系统运行受到重大影响、电网公司违约等），导致商业运营日延误，则NEGU应依据《购电协议》的约定向发电商支付视为发电费，且亦将触发成本补偿机制。
阳光所同步提出，《土地租赁协议》和《购电协议》作为均为乌兹政府方及国有企业签署的项目协议，应设置交叉违约的安排，确保针对《土地租赁协议》项下能源部的违约行为，项目公司在《购电协议》下应有权获得相应救济。例如，如果《土地租赁协议》由于非售电方违约而终止，应构成《购电协议》项下的购电方违约事件，触发终止赔偿的相应的救济机制。
通过多轮谈判，乌兹政府最终接受了阳光所提出的上述交叉违约的设置，确保各项目协议衔接，降低项目风险，提高可融资性。
总结与展望
在跨境投资项目中，需密切关注东道国的法律环境变化，预判风险并在协议中设置灵活条款，尤其关注政府政策和行业监管变化对项目的影响，确保可持续性和风险可控。中资企业可通过技术标准输出、投融资模式创新及借助律所专业支持，与中亚国家深化可再生能源合作。既推动区域能源转型，又拓展中国市场，提升国际影响力，为全球可持续发展提供实践范例。