BAKU, Azerbaijan, August 22. The European Bank for Reconstruction and Development (EBRD) is providing a sovereign loan of up to $50 million to the Republic of Uzbekistan for the purchase of electric buses, installation of charging stations, and construction of depot infrastructure in the city of Nukus, Trend reports via the EBRD.
The project serves as a trigger investment under the EBRD’s Green Cities Programme, marking Nukus’s formal participation in the initiative and committing the city to develop a Green City Action Plan (GCAP).
The project aims to expand public electric transport, reduce greenhouse gas emissions and air pollution, and improve urban mobility by encouraging a shift from private to public transport. The initiative will also enhance governance through capacity building of the new electric bus operator and transport authority, with EBRD support for procurement, sustainability, and inclusion.
Classified as Category B under the EBRD Environmental and Social Policy, the project will undergo environmental and social due diligence, including an independent audit and the development of an Environmental and Social Action Plan (ESAP) and Stakeholder Engagement Plan (SEP). The financing is fully aligned with green objectives and the Paris Agreement on climate change mitigation.
The total project cost is $57.5 million, with the EBRD loan complementing other sources such as government funds and commercial banks. Technical cooperation support will include feasibility studies covering technical, financial, economic, market, institutional, regulatory, and social aspects, including gender considerations.
