Akfen Solar Power Project



Project number:


Business sector:

Power and energy

Notice type:


Environmental category:


Approval date:

20 Jun 2018



PSD disclosed:

19 Apr 2018

Translated version of this PSD: Turkish

Project Description

Provision of long-term senior debt financing of up to USD 55 million (approximately EUR 44 million equivalent) to finance the construction of a 85 MW solar photovoltaic portfolio fully owned by Akfen Yenilenebilir Enerji A.S. in Turkey. The solar photovoltaic (PV) power plants are located in the provinces of Konya, Amasya, Tokat, Van and Malatya.

Project Objectives

The project will be developed under the Renewables Energy Resources Support Mechanism (YEKDEM) implemented by the Turkish government offering feed-in tariffs to projects to stimulate private investment in solar generating power assets. It will support Turkey's move to a more environmentally sustainable and diverse electricity sector by exploiting the country's vast renewable energy potential.

It is expected to improve the environmental characteristics of Turkey's power sector by reducing emissions of local pollutants and CO2, as well as to increase private ownership of generation capacity.

Transition Impact

The project will support Turkey in increasing the share of renewable energy in the country's energy mix, decreasing reliance on imported gas and it will contribute to the realisation of the Turkish government's target of installing circa 27GW of non-hydro renewable generation capacity by 2023; 5GW of it is expected to be solar.

Client Information


The borrowers will be six special purpose vehicles incorporated in Turkey for the sole purpose of developing, constructing and operating the solar plants. The borrowers are 100 pre cent owned by Akfen Yenilenebilir Enerji A.S. which in turn is owned by Akfen Holding A.S., Turkey (73.4 per cent), the EBRD (13.3 per cent) and IFC (13.3 per cnet).

EBRD Finance Summary

USD 55,000,000.00

A senior secured loan of up to USD 55 million (approximately EUR 44 million equivalent). The Bank's financing will be provided alongside a parallel loan from Turkiye Is Bankasi A.S. for an equal amount.

Total Project Cost

USD 181,000,000.00

Approximately EUR 146,000,000.00 equivalent.

Environmental and Social Summary

Category B. Environmental and social issues associated with the development of a number of solar power plants can readily be mitigated through the implementation of the Environmental and Social Action Plan (ESAP). The Bank, together with the IFC, hold equity stake in the company and the new solar projects are being developed in line with the existing corporate Environmental and Social Action Plan (ESAP). As part of current financing, an independent consultant was retained to undertake additional Environmental and Social Due Diligence (ESDD) of the solar portfolio under development.

The project meets the Bank's criteria for Green Economy Transition.

The ESDD has confirmed that the company is satisfactorily implementing the existing ESAP and has the capacity to implement the Bank's Performance Requirements (PRs) and that the solar portfolio is structured to comply with the Bank's PRs. The ESDD also confirmed that the technology is stateof-the-art and in line with the best international practices. None of the sites are located in sensitive areas or would be associated with resettlement or significant environmental impact. The ESDD also included a review of the sponsor's ability to construct and operate the projects in accordance with the Bank's Performance Requirements, particularly with regard to having sufficient environmenal and social capacity in place and the proposed measures for contractor management and project
implementation. Based on the ESDD a project-specific ESAP has been developed and agreed with the company to take account of a number of recommendations made as part of the due diligence.

This has focused on further institutional strengthening of the company's environmental and social governance functions and development of site specific corporate responsibility programmes for each solar project.

A non-technical summary for each of the solar plant has been developed and is available in Turkish language on the company's web site. The non-technical summary is also available in English below.

NTS Amasya: Turkish | English
NTS Tokat: Turkish | English
NTS Konya for Yasun and MT Dogal: Turkish | English
NTS Konya for Me-Se: Turkish | English
NTS Malatya for Iota: Turkish | English
NTS Van for Omicron Erciş, Omicron Engil 208 and PSI Engil 207: Turkish | English

As part of implementing the ESAP requirements agreed in 2015, the company is developing a corporate social responsibility programme aimed at community development and increasing awareness of the projects. It will also include a community outreach program and the company plans to support the local social infrastructure.

Further information on the company, the ESAP and CSR programs

The Bank will monitor the implementation of the corporate and project-specific ESAP and CSR programme.

Technical Cooperation


Company Contact Information

Ozgur Uzunoglu
+90 (212) 319 8700
+90 (212) 319 8730
Ilkbahar Mahallesi Turan Gunes Bulvari Galip Erdem Cad. No: 3 06550 Cankaya Ankara

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

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