Sherabad Cement Plant cleared of 1 billion UZS gas debt after tariff dispute

The Competition Committee has successfully overturned a fine unjustly imposed on the Sherabad Cement Plant after it was revealed that the calculations were based on inflated tariffs, as the plant was previously part of the Almalyk Mining and Metallurgical Complex (AMMC).

Photo: Spot

Representatives of the plant approached the supervisory body’s department in the Surkhandarya region in October, accusing the local branch of "Hududgaztaminot" of erroneously calculating the debt due to incorrect tariff application and failure to account for previously paid amounts.

During the investigation, the Committee found that "Hududgaz Surkhondaryo" had applied inflated gas tariffs to the company in July-August 2022. The reason was the change in ownership, as until August 3, 2022, the plant had been part of the AMMC structure.

However, throughout August, the cost of gas used by the plant was calculated based on the AMMC tariff — 1,300 UZS per cubic meter (compared to 1,000 UZS for other companies). As a result, an excess debt of about 1 billion UZS was accrued.

A special commission of the Committee initiated a case against "Hududgaz Surkhondaryo." The branch was instructed to recalculate the gas payments in favor of the plant.