GlobalData Energy
2 min read
Kazakhstan's electricity consumption has been on a steady rise, driven by industrial expansion, urbanisation, digitalisation and electrification. The nation's power demand is predominantly fuelled by energy-intensive industries, mining, oil and gas operations, and residential sector growth. This surge in industrial activity has led to a heightened demand for electricity: annual consumption escalated from 83.9 terawatt hours (TWh) in 2020 to 90.9TWh in 2024. This upward trend is anticipated to persist, with projections suggesting an increase to 111TWh by 2035.
The industrial sector occupied the dominant share in the country’s power consumption, accounting for 56% in 2024. This was followed by the commercial sector with 19.2% and the residential sector with a share of 19.1%. The transport sector held a share of 4%, while other segments contributed to a 1.8% share.
In the industrial sector, the fields of metallurgy, mining and oil refining continue to be the predominant consumers. The emergence of new projects in battery metals and green hydrogen has the potential to further escalate demand. The residential sector is experiencing an upsurge in demand, attributable to the increased energy consumption of households. This rise is a direct consequence of urbanisation and elevated living standards, which in turn lead to a higher proliferation of electrical appliances as well as heating and cooling systems.
In 2024, the country experienced a 3.8% year-on-year increase in GDP, attributable to the growth of the industrial and manufacturing sectors. Kazakhstan's energy-intensive industries, which include mining, metallurgy and oil refining, account for approximately 60% of the nation's electricity consumption. The trend of urbanisation, coupled with a rise in household energy use, is generating further demand. The Kazakh government estimates that the country would need at least 17.5GW of new capacity to meet local demand by 2035.
The Ministry of Energy has therefore proposed the following structure for the new energy capacity required by 2035 as follows: more than 5.1GW of gas-based thermal capacity, more than 2.1GW from hydropower plants, more than 1.4GW of coal-based thermal capacity, more than 6.5GW from renewable power and more than 2.4GW of nuclear power capacity. This is expected to bring in more investments to the sector.
"Kazakhstan to boost power capacity to meet rising electricity demand" was originally created and published by Power Technology, a GlobalData owned brand.
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