The European Bank for Reconstruction and Development (EBRD) has signed an agreement with a German company, Joachim Goldbeck Holding GmbH, to develop a 100 MW solar project in the Karaganda region of Kazakhstan. This will be the largest solar power project developed at one time in Central Asia.
EBRD will provide a local-currency loan equivalent to $51.3 million and there will be another loan of up to $22.2 million from the Green Climate Fund (GCF). This will help Kazakhstan’s private sector to play a greater role in the power and energy sector, which is largely dominated by state enterprises.
A special-purpose company, SES Saran LLP, has been incorporated to implement the solar park project which is owned by Joachim Goldbeck Holding GmbH.
It is estimated that Saran solar project will help reduce carbon emissions by 93,500 tons per year and contribute to Kazakhstan’s national emission reduction targets.
The project is part of the EBRD-GCF Kazakhstan renewables framework. GCF has contributed $110 million and intends to increase investments in renewable energy, provide technical assistance and build institutional capacity for energy integration and carbon market policies and planning.
The EBRD has invested over €7.5 billion (~$ 8.5 billion) through 246 projects in the economy of Kazakhstan. It has also committed €26.7 billion (~$ 30.3 billion) in Green Economy Transition since 2006.
Earlier, EBRD announced that it would be financing the development of a 100 MW solar project in the Zhambyl region of southern Kazakhstan.
Recently, Mercom reported that EBRD also signed its first green economy financing facility (GEFF) in Lebanon. The EBRD and Bank Audi, the largest bank in Lebanon, joined forces for the expansion of renewables by providing $100 million each for green projects in Lebanon. This included the first loan under the EBRD’s GEFF for the country.
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Nitin is a staff reporter at Mercomindia.com and writes on renewable energy and related sectors. Prior to Mercom, Nitin has worked for CNN IBN, India News, Agricultural Spectrum and Bureaucracy Today. He received his bachelor’s degree in Journalism & Communication from Manipal Institute of Communication at Manipal University and Master’s degree in International Relations from Jindal School of International Affairs. More articles from Nitin Kabeer