The Political Economy of Central Asian Energy and the Role of Regional and International Actors
Pages 3-34
https://doi.org/10.22034/ca.2025.731849
Sajjad Abbasalipour, Mehdi Fakheri
Abstract The presence of energy resources in Central Asia represents one of the most significant opportunities for the countries in the region to overcome economic and political crises following independence. The three Central Asian countries with fossil fuel reserves have, from the outset, sought to attract international investments to make the energy sector the central driver of their economic growth. This trend accelerated particularly with the rise in energy prices after the year 2000. Some scholars argue that the existence of these energy resources and the revenues generated from them have led to the formation of restricted and authoritarian political systems. However, others believe that the internal conditions of these countries are rooted in their history and political culture, and that without these resources, they would face even greater economic and political instability.On the other hand, the realist logic and intra-regional competition have been among the main obstacles to economic and energy cooperation within the region. This issue has typically been resolved when a regional or international power has acted as a facilitator and guarantor. International organizations and initiatives, such as the “Shanghai Energy Club” and “CAREC,” have been unable to effectively and broadly alter this realist logic, instead providing a platform for bilateral and trilateral cooperation among member countries. Examples of successful cooperation include China’s bilateral partnerships in gas with Turkmenistan and oil with Kazakhstan. China’s strategic approach in the Central Asian energy sector has aimed to reduce energy security challenges and create a balance against major powers, particularly Russia.

