Sale of Land Plots through Electronic Auctions in Uzbekistan

In the context of deepening market reforms in Uzbekistan, one of the key tasks is to create a transparent and efficient mechanism for managing land resources. A central direction in this process has been the introduction of a system for selling land plots through electronic auctions. This mechanism aims to ensure equal access of citizens and legal entities to land resources, minimize corruption risks, and turn land rights into a full-fledged market asset.

The regulation of electronic land sales is based on:

• The Law of the Republic of Uzbekistan “On the Privatization of Land Plots Not Intended for Agricultural Use”;
• The Presidential Decree No. PF-6243 of June 8, 2021, “On Measures to Ensure Equality and Transparency in Land Relations”;
• The Resolution of the Cabinet of Ministers No. 71 of February 14, 2022, which approved the procedure for selling land plots through the electronic platforms “E-auksion” and “Yerxususiylashtirish”.

Main Platforms for Land Sales

1. “E-auksion” Electronic Trading Platform

• Designed for the sale of land plots for entrepreneurial and urban development activities;
• Implements the transfer of ownership or lease rights through open online auctions;
• Automatically generates auction notices, accepts applications, and ensures fair competition among participants.

2. “Yerxususiylashtirish” Automated Information System

• Used for privatizing land plots previously granted to citizens or legal entities under permanent or lifetime inheritable possession;
• Provides verification of legal grounds and automatic integration with cadastral authorities;
• Issues a state order confirming ownership rights.

3. “Yerelektron” Information System

• Used for compiling and approving data on available (free) land plots;
• Inclusion of a plot in the system is allowed only after it is registered in the state land cadastre.

Procedure for Land Sale via Electronic Auction

The process of selling land plots includes several stages:

1. Formation of Lots
   • Cadastral authorities identify available plots, prepare topographic plans, and upload data into the system;
   • The district (city) hokimiyat (administration) approves the plot as a state asset.
2. Announcement of the Auction
   • Information about the lot is posted on “E-auksion” indicating the starting price, area, and permitted use;
   • Any citizen or legal entity may register and submit an application.
3. Conduct of the Auction
   • The auction is held online using the price-raising principle;
   • The winner is the participant who offers the highest price.
4. Conclusion of the Contract
   • The winner must make payment within the established time frame;
   • The system automatically generates a lease agreement or a state order for ownership.
5. Registration of Rights
   • The State Committee for Cadastre enters data into the Real Estate Rights Register;
   • The owner receives an electronic document with a QR code that has full legal force.

Advantages of Electronic Auctions

• Transparency – eliminates subjective factors and corruption risks;
• Accessibility – all citizens and legal entities can participate online;
• Efficiency – automation shortens registration timelines and reduces administrative barriers;
• Investment Attractiveness – privatized land can be used as collateral and an investment asset (confirmed by recent changes in banking practices).

Challenges and Issues

Despite the clear achievements, the system of electronic land sales still faces several challenges:

• Insufficient digital literacy among part of the population;
• Technical failures and cybersecurity vulnerabilities;
• Need for deeper integration between “Yerxususiylashtirish”, “Yerelektron”, and banking systems;
• Risk of social tension due to land withdrawal for auctions.

Electronic auctions for land sales in Uzbekistan have become a key instrument of land reform, ensuring a balance of interests between the state, business, and citizens. The introduction of digital platforms has created a transparent, competitive, and fair land rights market. However, further improvement requires deeper system integration, greater public trust, and adaptation of procedures to international standards.

Comparative Table of Electronic Land Auction Platforms

Platform	Purpose	Participants	Legal Basis	Key Procedures	Result
E-auksion	Sale of available land plots for entrepreneurial and urban development purposes	Individuals and legal entities	Resolution of the Cabinet of Ministers No. 71 (14.02.2022), Presidential Decree PF-6243 (08.06.2021)	- Lot formation by cadastral authorities - Approval by hokimiyat as a state asset - Online auction; winner determined by highest price	Lease agreement or ownership right (state order)
Yerxususiylashtirish	Privatization of land plots previously granted under permanent use, lease, or lifetime inheritable possession	Citizens and legal entities already possessing land-use rights	Law “On Privatization of Land Not for Agricultural Use,” Resolution No. 71	- Application via Public Services or service centers - Automatic verification of legal basis - Payment according to set formula - Issuance of state ownership order	State ownership order
Yerelektron	Coordination and registration of available land plots for inclusion in auctions	Cadastral bodies, hokimiyats, and urban planning authorities	Resolution No. 71	- Ensures cadastral registration of plots - Checks for restrictions or prohibitions - Mandatory step before inclusion in “E-auksion”	Formation of land database for auctions

Summary:

• “E-auksion” – auction platform for new land lots.
• “Yerxususiylashtirish” – tool for privatizing already used land plots.
• “Yerelektron” – auxiliary system for recording and approving land plots prepared for sale.