The European Bank for Reconstruction and Improvement (EBRD) stated on December 16 the financial institution will lend PLN 175 million (€38.9 million equivalent) for the development, development and operation of two wind farms in Poland with a total capacity of 63.1 MW.
In line with the financial institution, the EBRD financing makes up half of a much bigger mortgage package deal for Grajewo and Sulmierzyce wind farms, which are finally owned by funds managed by DIF Capital Partners, an unbiased international infrastructure fund supervisor expanding its renewables funding footprint in Poland. The tasks’ business parallel lender is DNB ASA, with Denmark’s ECA EKF offering assure for a portion of the term mortgage.
The tasks, which are anticipated to generate more than 182.4GWh of renewable zero-carbon electrical energy a yr, resulting in carbon emissions financial savings of just about 140,000 tonnes per yr, will help Poland’s ongoing power transition as it shifts away from its reliance on coal.
Poland at present uses coal, probably the most polluting fossil gasoline, for over 70% of its electrical energy era. It faces one of the vital power transition challenges of all the EBRD’s nations of operation as it moves to align with the objectives of the Paris Agreement on limiting international warming to not more than 1.5C.
Keeping up the momentum of its inexperienced power transition is significant for Poland as European Union ambitions grow. In December 2020, the European Council agreed to increase the bloc-wide emissions reduction target from 40% to 55%.
An formidable renewable power programme supported by coverage dialogue with the EBRD allowed Poland to carry its first large-scale renewable power auctions in late 2018 and obtain 12.2% of ultimate power consumption from renewables by the top of 2019. Regardless of financial crosswinds in the wake of the global coronavirus pandemic, Poland aims to satisfy a demanding goal of 23% by 2030.
The EBRD works extensively in Poland, where it has invested greater than €11 billion in 463 tasks.