UAE’s Masdar signs loan agreement to build first photovoltaic station in Uzbekistan

Finance Materials 24 December 2020 16:38 (UTC +04:00)
UAE’s Masdar signs loan agreement to build first photovoltaic station in Uzbekistan

BAKU, Azerbaijan, Dec. 24

By Klavdiya Romakayeva - Trend:

UAE's Masdar company signed a loan agreement in the amount of more than $100 million as part of a project for the construction of a photovoltaic power (PV) plant in the Navoi region, Trend reports citing the Ministry of Investments and Foreign Trade of Uzbekistan.

According to the agreement, Masdar will act as a borrower for the International Finance Corporation, the Asian Development Bank and the European Bank for Reconstruction and Development.

Earlier it was reported that Masdar became the winner of the first auction in the history of Uzbekistan to select a foreign investor for the construction and operation of a PV station. Masdar has offered one of the lowest tariffs in the world at $2.67 per kWh.

According to an investment agreement signed with the Ministry of Investment and Foreign Trade in November 2019, Masdar has committed to design, finance and build a PV plant and operate it for 25 years.

The photovoltaic station will be commissioned in August 2021.

It was noted that the project is part of the program of the government of Uzbekistan aimed at diversifying the country's energy balance, including by bringing the total capacity of solar energy facilities in the country to 5 GW by 2030.

Masdar will make direct investments in the project in the amount of more than $100 million and create 150 jobs during the construction phase, and the launch of the photovoltaic power plant will provide electricity generation in the amount of 260 million kWh per year.

“The introduction of renewable energy sources will help reduce the volume of natural gas used for electricity generation (up to 175 million cubic meters per year), as well as a significant reduction in carbon dioxide emissions into the atmosphere (up to 1.1 million tons per year),” the message said.

Masdar is a subsidiary of the investment holding of the government of Abu Dhabi Mubadala Investment Company and one of the leading international companies in the development of renewable energy sources in the world.

The portfolio of completed investment projects of the company includes more than 4,000 MW of installed capacity for generating electricity from renewable sources.


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