Qair Solar - Project B

Overview
Project Summary Document
Environmental and Social Documentation
Procurement
Complaints

Overview

Provision of EUR 3,900,000 for the design, development, financing, construction, commissioning, operation and maintenance of a 10MW solar photovoltaic (PV) power plant (SPP) located in Feriana town in Tunisia. Project B is 39% owned by Qair International ("Qair", the "Sponsor") and 61% by Mazarine Energy BV during construction. Post construction, Project B will be majority owned by Qair and Mazarine will retain a participation. The Project is considered alongside another 10MW SPP co-located and with the same Sponsor (see Qair Solar - Project A).

Project ID 55027

Status Disbursing

Location

Tunisia

Business Sector

Energy

Notice Type

Private

Project timeline

Exploratory
Passed Concept Review
Passed Structure Review
Passed Final Review
Board Approved
Signed
Implementing
Completed

Company Contact Information

Eric Boutemy
e.boutemy@qair.energy
+216 29 028 158
https://www.qair.energy/
11 Rue Kabadou La Marsa 2070, Tunisia

Project ID 55027

Status Disbursing

Location

Tunisia

Business Sector

Energy

Notice Type

Private

Environmental Category

Approval Date

19 Mar 2024

Disclosure date

20 Mar 2024

As per section 1.4.2 (iii) of the Directive on Access to Information: "For Projects approved by Bank management where the Board of Directors has delegated the approval authority, the PSD shall be disclosed at the start of the relevant no-objection notification period to a member country of the Bank in accordance with Article 13 (iii) of the Agreement Establishing the EBRD."

Project description

Project objectives

Tunisia aims at lessening dependence on fossil fuels by diversifying its energy mix, and development of renewable energy is therefore a key priority for the country. Further, the Project will be among the first solar projects realized by the private developer Qair, under the authorization regime in Tunisia.

Transition impact

ETI Score:80

ject is under the SEMED Private Renewable Energy Framework, and as such contributes to the Green TI quality by facilitating CO2 emissions savings through the development of renewable energy generation capacity in SEMED; as well as to the Competitive TI quality by supporting private ownership and off-take in eligible projects.

Client information

SOCIETE CENTRALE SOLAIRE FERIANA C

Centrale Solaire Feriana C ("Qair Solar - Project B"; the "Borrower") is a special purpose vehicle (SPV) incorporated in Tunisia. Project B is 39% owned by Qair and 61% by Mazarine Energy BV.

EBRD Finance Summary

EUR 3,900,000.00

EUR 3,900,000

Total project cost

EUR 7,330,000.00

The project costs of EUR 7.3 million will consist of EPC, non- EPC and financing costs.

Additionality

The EBRD is additional via provision of terms and conditions not available in the market from local commercial sources. The Bank also provides its experience of operating in the region, with some of the first financing of RE (both small and large scale IPPs) projects in the country.

Environmental & Social Summary

Categorised B (ESP 2019). The Project consists of the construction and operation of a greenfield 10MW photovoltaic (PV) plant, the construction of the access road that follows an existing track and the construction of a low voltage electrical 3km transmission line connecting to the STEG substation located in Feriana town, in the Kasserine Governorate.

The Project will result mainly in environmental and social (E&S) benefits related to the low carbon transition of Tunisia's electricity generation and the creation of employment opportunities. E&S Due Diligence (ESDD) was undertaken by independent consultants in 2021 and confirmed the identified E&S impacts are manageable and mitigatable through the implementation of targeted measures included in the ESAP, which has been agreed with the Client.

Independent E&S due diligence included a site visit to the site in 2020, a documentation review, and an update was made following the design changes introduced.

Land acquisition for the PV site, access road, and transmission line is not associated with any physical displacement and was settled following a willing buyer-willing seller transaction, where the land will be leased to the Sponsor for 25 years.

An E&S Impact Assessment (ESIA) has been completed according to international standards, and an E&S assessment of the overhead line has been made. None of the E&S impacts were identified as significant or major and none require immediate attention or additional measures. The majority of the impacts are of minor to negligible significance and are considered typical during the construction and operation of a PV power plant.

The Project is located in a locality characterized by the presence of shallow water tables. Groundwater resources are limited in the region and are an important resource for the economic activities of the area, mainly agricultural and pastoral. As a result, the Sponsor is required to develop water and resource efficiency management plans and prioritise dry over wet cleaning of the panels as part of the ESAP.

Qair has prepared an Environmental and Social Management System (ESMS) for the construction phase of the Feriana Solar Project that includes Qair's E&S policy, procedures and plans. The ESMS describes the roles and responsibilities of Qair and the EPC Contractor's to manage the E&S aspects of the Project. The Project's ESMS takes into account applicable local regulations, as well as IFC Performance Standards; the Equator Principles (EP3) and the International Labour Organization (ILO) Conventions. A comprehensive Stakeholder Engagement Plan (SEP) has been developed for the Project.

Enhanced supply chain due diligence has been conducted for the solar components in accordance with the Bank's Management Approach for Solar Supply Chain Risk Management. The Sponsor has provided evidence of a functioning supply chain management system including a Code of Conduct where the Sponsor shows zero tolerance to labour violations.

An ESAP has been developed to capture the required actions to reach full compliance of the ESMS, which include developing operational phase management procedures, planning earthworks outside of the reproduction and nesting period of birds and reptiles, and updating the emergence preparedness and response plans.

Technical Cooperation and Grant Financing

Project Preparation Support will partially cover costs associated with the lenders' due diligence workflows (environmental and technical due diligences).

Company Contact Information

Eric Boutemy
e.boutemy@qair.energy
+216 29 028 158
https://www.qair.energy/
11 Rue Kabadou La Marsa 2070, Tunisia

Implementation summary

PSD last updated

21 Mar 2024

Understanding transition

Further information regarding the EBRD’s approach to measuring transition impact is available here.

Business opportunities

For business opportunities or procurement, contact the client company.

For business opportunities with the EBRD (not related to procurement) contact:

Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

For state-sector projects, visit EBRD Procurement:

Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

Specific enquiries can be made using the EBRD Enquiries form.

Environmental and Social Policy (ESP)

The ESP and its associated Environmental and Social Requirements (ESRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”. The ESP and the ESRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation, and to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about the environmental and social (E&S) performance of the client and the project. Proportionate to the nature and scale of a project’s environmental and social risks and impacts, the EBRD also requires its clients to disclose information, as appropriate, about the risks and impacts of projects or to undertake meaningful consultation with stakeholders and consider and respond to their feedback.

More information on the EBRD’s practices in this regard is set out in the ESP.

Integrity and compliance

The EBRD's Office of the Chief Compliance Officer (OCCO) promotes good governance and ensures that the highest standards of integrity are applied to all of the Bank's activities in accordance with international best practice. Integrity due diligence is conducted on all Bank clients to ensure that projects do not present unacceptable integrity or reputational risks to the Bank. The EBRD believes that identifying and resolving issues in the project assessment and approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts andhelps to monitor integrity risks in projects post-investment.

OCCO is further responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, either within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to compliance@ebrd.com. OCCO will follow-up all matters reported. It will review all matters reported. Reports can be made in any language of the Bank or of the Bank's countries of operation. The information provided must be made in good faith.

Access to Information Policy (AIP)

The AIP, which entered into force on 1 January 2025, sets out how the EBRD discloses information and consults with its stakeholders to promote better awareness and understanding of its strategies, policies and operations. Please visit the Access to Information Policy page to find out what information is available from the EBRD website.

Specific requests for information can be made using the EBRD enquiries form.

Independent Project Accountability Mechanism (IPAM)

If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (for example, through the client’s project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).

IPAM independently reviews project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the mechanism is: to support dialogue between project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or the project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.

Please visit the Independent Project Accountability Mechanism webpage to find out more about IPAM and its mandate and how to submit a Request for review. Alternatively, contact IPAM by email at ipam@ebrd.com for guidance and more information on IPAM and how to submit a request.

Environmental and Social Documentation is not available for this project.

Selected procurement notices related to this project may be shown below. Further procurement opportunities related to this and other projects, if available, maybe be viewed in the EBRD Procurement Portal.

The EBRD's Environmental and Social Policy (ESP), Access to Information policy (AIP) and Project Accountability Policy (PAP) enable sound and sustainable development in its projects. The Independent Project Accountability Mechanism (IPAM) deals with complaints about environmental, social and disclosure matters related to the Bank’s investments.

No complaints about this project have been made so far.

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Qair Solar - Project B

Overview

Project timeline

Company Contact Information

Project description

Project objectives

Transition impact

Client information

EBRD Finance Summary

Total project cost

Additionality

Environmental & Social Summary

Technical Cooperation and Grant Financing

Company Contact Information

Implementation summary

PSD last updated

Understanding transition

Business opportunities

General enquiries

Environmental and Social Policy (ESP)

Integrity and compliance

Access to Information Policy (AIP)

Independent Project Accountability Mechanism (IPAM)