The European Bank for Reconstruction and Development (EBRD) has announced that it will guarantee up to €25 million of a loan from UniCredit Bulbank for the photovoltaic plant in Tsenovo, Bulgaria, as part of its risk-sharing framework.
The loan will finance the construction and operation of the large-scale solar power plant in northeastern Bulgaria, which will add 112.5 MW of new solar generation capacity to the national electricity system, the EBRD said in a statement.
The solar plant is expected to produce 180 GWh of renewable energy once it is commissioned, with a significant portion to be distributed to the regional market through innovative off-take solutions, UniCredit Bulbank said in a separate statement. The initiative will contribute to Bulgaria's decarbonisation by increasing the share of renewable energy generation, which is in line with the country's goals to phase out coal-fired power generation by 2038.
The project is sponsored by Vienna-based Enery Development, a renewable energy infrastructure company with 273 MW of operating plants in Central and Eastern Europe.
The EBRD has already disbursed €4.5 billion to more than 292 projects in Bulgaria, focusing on private sector competitiveness, financial sector strengthening and infrastructure development. / BGNES