May 10, 2021, 15:00
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akipress.kg
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AKIPRESS.COM - The government of Uzbekistan's plans to develop 8 GW of solar and wind capacity by 2030 have received a major boost following the approval of an €87.4 million financing package jointly organised by, the European Bank for Reconstruction and Development (EBRD), the European investment Bank (EIB) and PROPARCO, a subsidiary of Agence Française de Développement. The funds will be used to construct and put into operation a 100 MW photovoltaic solar power plant near the city of Samarkand, EBRD said. The package will be provided to project developer Tutly Solar LLC, which is fully owned by Total Eren, a leading France-based independent power producer (IPP) from renewable energy sources (mainly solar and wind), active globally. It will consist of an EIB loan of €43.7 million and two loans of approximately €21.8 million each from the EBRD and PROPARCO.
This is one of the first private-sector renewable energy projects in the country. It will help diversify the energy mix, which is currently dominated by fossil fuel-fired power stations, and increase generation capacity and the reliability of supply to address growing demand for electricity. Once implemented, the project will help reduce annual greenhouse gas emissions by 160,000 tonnes of CO2 equivalent and generate an additional 270 GWh of electricity for thousands of inhabitants of Central Asia's most populated country.
The project will thus contribute to priorities identified in the United Nations' 2030 Sustainable Development Goals (SDGs): affordable and clean energy; decent work and economic growth; industry, innovation and infrastructure; and climate action.
After the commissioning, the electricity produced by Tutly Solar will be sold to the operator, National Electric Networks of Uzbekistan, through a 25-year power-purchasing agreement. The project, which involves Total Eren as one of the first Independent Power Producers in the country, will develop Uzbekistan's huge solar potential.
