TASHKENT, Uzbekistan, January 17. The European Bank for Reconstruction and Development (EBRD) has approved financing of up to $195.5 million for a 300 MW solar power plant and a 75 MWh battery storage facility in Uzbekistan’s Kashkadarya region, Trend reports via the bank.
The financing package for the project includes an EBRD senior loan of up to $141.6 million, complemented by a guaranteed facility of up to $25 million. These funds will be directed to Nur Kashkadarya Solar, a special-purpose vehicle fully owned by the global renewable energy company, Masdar.
Additionally, the EBRD is mobilizing concessional financing, including up to $20 million from Canada and $5 million from Finland, through the Special Fund for the High Impact Partnership on Climate Action (HIPCA). The project will also benefit from concessional finance of up to $3.9 million provided by the Japan–EBRD Cooperation Fund and the EBRD. It is anticipated that the project will receive co-financing from the Asian Development Bank as well.
"This initiative supports Uzbekistan’s renewable energy development strategy, which is backed by the EBRD and aims to deploy 25 GW of solar and wind capacity by 2030. Upon completion, the solar power plant is expected to generate 664 GWh of electricity annually, supplying power to approximately 60,000 households and reducing carbon dioxide emissions by up to 400,000 tons per year
The installation of a 75 MW / 75 MWh battery energy storage system (BESS) will also enhance the stability of Uzbekistan’s national power grid by improving reliability and flexibility and providing additional capacity during periods of peak demand.
Overall, the EBRD has invested nearly $6.8 billion in Uzbekistan across 204 projects, with the majority of funding directed toward private sector development. Uzbekistan has been the largest recipient of EBRD financing in Central Asia for each of the past six years.