Photo: European Bank for Reconstruction and Development press service.
The European Bank for Reconstruction and Development (EBRD), together with its partners, has assembled a financing package of $195.5 million for the construction and operation of a solar photovoltaic power plant in Uzbekistan’s Kashkadarya Region, the organization’s press service said.
The planned capacity of the plant will be 300 MW. In addition, a battery energy storage facility with a capacity of 75 MWh will be built. Once completed, the facility is expected to generate 664 GWh of electricity per year, supply power to about 60,000 households, and reduce annual carbon dioxide emissions by 400,000 tons.
According to the EBRD, the package includes a $141.6 million loan from the bank and a guarantee of up to $25 million. The funds will be provided to the special-purpose project company Nur Kashkadarya Solar, which is wholly owned by the UAE-based energy company Masdar.
The project will also receive $20 million from the Government of Canada and $5 million through cooperation with the authorities of Finland under a special high-impact partnership fund for climate action.
A further approximately $4 million will come through EBRD cooperation with Japan. The Asian Development Bank is also expected to join the project at a later stage.
Construction of the Kashkadarya solar power plant is part of Uzbekistan’s government-backed renewable energy development plan supported by the EBRD. Under this program, solar and wind power facilities with a combined capacity of 25 gigawatts are to be built by 2030.
The project is expected to strengthen the stability of the national power system through the introduction of battery-based energy storage, which is particularly important during periods of peak electricity demand.
