€5.6 million financing package to support new solar energy project
8-5-2013 — /europawire.eu/ — The EBRD continues promoting and supporting renewable energy projects in Ukraine aimed at reducing the environmental impact of traditional power generation. Renewable energy is yet to establish itself as a major contributor to Ukraine’s energy security but it is starting to play a greater role in its sustainable energy supply.
The latest renewable energy project supported by the Bank foresees the development, construction and operation of a 5MW solar plant, operated by a local company Rengy Tomashpil, in the Vinnitsya region of south Ukraine. The financing package arranged by the Bank will include a 6-year EBRD loan of €3.8 million and a 10-year loan of €1.8 million from the Clean Technology Fund (CTF).
The new solar energy project is part of the EBRD Ukraine Sustainable Energy Lending Facility (USELF) an investment facility of €70 million (€50 million from the EBRD and €20 million from the CTF) designed to provide finance to private local enterprises wishing to invest in renewable energy projects in Ukraine. Technical assistance on projects preparation, regulatory framework development and strategic environmental review is funded by the Global Environmental Facility (GEF).
The CTF was established in 2008 to provide middle-income countries with support to adopt renewable and energy efficiency technologies that have high potential for minimising long-term greenhouse gas emissions. The CTF already finances programmes in 15 countries and one region, and is the largest multilateral climate finance instrument in operation.
The EBRD is the largest financial investor in Ukraine. As of 31 March 2013 the Bank had committed over EUR 8.63 billion (USD 11 billion) through 337 projects in Ukraine.
Anton Usov
Kiev – Tel: +380 44 277 11 00
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