The European Bank for Reconstruction and Development (EBRD) is extending a $19.3 million loan to ACWA Power Wind Karatau to finance the construction of a 100MW wind power plant (WPP) in Karakalpakstan.
The project will also be co-financed by the German Development Finance Institution Deutsche Investitions und Entwicklungsgesellschaft (DEG, part of KfW Group) and by the French Development Finance institution Société de Promotion et de Participation pour la Cooperation Economique (Proparco, part of the Agence Française de Développement Group).
The new generators, with a combined capacity of 100 MW, are expected to generate over 300 GWh of renewable electricity annually, and deliver more than 178,000 tonnes of CO2 emissions savings annually.
“We are proud to support ACWA Power, our long-standing client, and this 100 MW wind farm in the Republic of Karakalpakstan, Uzbekistan. The region of the Aral Sea is rejuvenating its economy capitalising on its wind and solar resources,” said Nandita Parshad, Managing Director of EBRD’s Sustainable Infrastructure Group.
The EBRD has so far financed 2,700 MW of renewables capacity in Uzbekistan. It has partnered with the authorities on a programme to deliver 2,000 MW of wind power through competitive bidding processes.
The Karatau WPP project is the first project under this programme. The closing price was a record low for Central Asia, proving the commercial viability of private wind power and bringing Uzbekistan closer to realising its renewable energy potential, the report said.
The project will also support women’s participation in the country’s renewable energy sector. The sponsor, ACWA Power, will increase access to market-relevant skills and employment opportunities for young women in the country by working in partnership with local technical institutes to introduce a new gender-responsive certified internship programme that will expand the local talent pool.
ACWA Power Wind Karatau is a limited liability company registered in Uzbekistan and owned by ACWA Power Company, a Saudi Arabian company.
