Continuing its support of sustainable energy in Poland, the EBRD is providing financing to build a new 53 MW wind farm in the north of the country, developed by RP Global, an independent power producer.
In the same financing to Megawatt OMS, a Polish holding company controlled by RP Global, the EBRD is also supporting a 50 MW wind farm in Tychowo (an existing EBRD client).
“The EBRD is strongly committed to decarbonisation of the Polish economy,” said EBRD Director for Poland, Lucyna Stanczak. “Renewable energy projects like these wind farms can gradually help the country reach the EU targets, as well as help the environment. The Kukinia wind farm financing brings the total EBRD investment in sustainable energy to €10 billion. The EBRD will continue to look at ways to support green energy – in Poland and other countries – with longer-term financing not easily available in the marketplace.”
The construction of Kukinia wind farm commenced in August 2012 and the commercial operation of the wind farm is expected in early 2014.
“With equity partner Marguerite, financing banks – the EBRD and PKO BP – and turbine supplier Enercon we were able to attract the top players in the industry. This made it possible to close this complex and challenging transaction, the only one of its kind in 2012 in Poland, in a difficult and uncertain legal environment,” said Gerhard Matzinger, CEO of RP Global.
“This is a landmark transaction that secures the financing for construction of a large new wind farm, which was particularly challenging in light of current regulatory uncertainty in Poland,” said Grzegorz Zielinski, the EBRD’s renewable energy coordinator.
The EBRD financing package consists of the PLN 280.2 million (€68.3 million) portion dedicated to the new wind farm in Kukinia and up to PLN 50 million (€12.2 million) for the necessary hedging arrangements. The loan maturity is 16 years. The leading Polish bank PKO BP is lending another PLN 280.2 million (€68.3 million) – half of the total package and is also providing the required VAT facility.
The 2020 European Fund for Energy, Climate Change and Infrastructure (the "Fund Marguerite"), a pan-European infrastructure fund, has recently acquired a minority stake in Megawatt OMS, and is now holding a 50 per cent minus one share equity stake.
Since the launch of its Sustainable Energy Initiative (SEI) in 2006, the European Bank for Reconstruction and Development has invested over €10 billion under its umbrella, in 552 energy efficiency and renewable energy projects.
The EBRD will continue investing in other projects which will help Poland make a progressive switch from coal to much cleaner fuels for electricity generation. Currently the Bank is finalising the financing for the construction of a gas-fired plant by Elektrociepłownia Stalowa Wola, as well as is considering further investments in renewable energy such as wind and biomass.
To date, the EBRD has invested about €5.7 in the Polish economy in over 300 projects.