BAKU, Azerbaijan, April 6. The European Bank for Reconstruction and Development (EBRD) to provide funds in the amount of $205 million for Masdar’s three large solar power plants with a total capacity of 900 MW construction in Uzbekistan’s Sherabad, Samarkand, and Jizzakh regions, Trend reports, citing the EBRD.
EBRD says that financial organizations such as Asian Development Bank (ADB), Asian Infrastructure Investment Bank (AIIB), as well as the European Investment Bank (EIB) will also finance Masdar's major renewables project in Uzbekistan.
"The package consists of EBRD A/B loans and revolving facilities. The A loans, collectively worth up to $109 million, will be for the Bank’s own account and the B loans of up to $18 million are expected to be financed by the Dutch entrepreneurial development bank FMO," the bank says.
It should be noted that the EBRD will complement its loans with three revolving facilities of up to $78 million
“The projects contribute to a long-term decarbonization plan that the EBRD and the government of Uzbekistan have jointly developed, which aims to achieve a carbon-neutral power sector by 2050”, the bank emphasizes.
Speaking about the solar plants, Masdar estimates that they will generate enough electricity to power cover the needs of 1 million houses, and reduce more than 1 million tons of carbon dioxide annually.
Back in 2021, Masdar signed agreements with the Uzbek Ministry of Investments, Industry, and Trade, and the JSC National Electric Grid to design, finance, build and operate three solar power plants – the 457 MW Sherabad region, and 220 MW each Samarkand and Jizzakh regions of Uzbekistan. The company plans to put the plants into operation in 2024.