Darlowo Wind

Location:

Poland

Project number:

45739

Business sector:

Power and energy

Notice type:

Private

Environmental category:

A

Target board date:

15 Oct 2014

Status:

Repaying

PSD disclosed:

20 Jun 2014

Translated version of this PSD: Polish

Project Description

The EBRD is considering providing a senior long-term loan of up to PLN 230 million (€55 million equivalent) to finance the construction and operation of the third and final phase of the Darłowo Energy Center, a cluster of wind farm projects located near Darłowo town in north-western Poland (Zachodniopomorskie province). The development will mark the third and final phase of the wind park and raise the installed capacity by 74 MW to a total capacity of 250 MW. The construction of the project started in 2013 and is taking place in two stages, which are expected to be completed by the first quarter of 2015.

The EBRD loan is to be provided to the special purpose companies Pekanino Wind Invest Sp. z o.o. and Gorzyca Wind Invest Sp. z o.o. (together the “borrowers”), created to own, construct and operate two wind farms, representing the two stages of the phase III of Darłowo project, with capacity of 24MW and 50 MW respectively.

The borrowers are fully owned through an intermediary holding company by Invenergy Poland Darlowo Holdings SARL and Enerco Sp. z o.o. Sp. komandytowa (jointly the “sponsors”).

Transition Impact

The transition impact of the project stems from three factors:

  1. It supports investments by a private investor in the Polish wind energy sector which is still largely state-controlled. The sponsors' capacity in Poland is expected to grow to nearly 10 per cent of the country's installed wind capacity (totalling 3.1GW as of September 2013), allowing them to become one of the key independent and private actors on the Polish renewable energy market.
  2. By adding new generation capacity the project will lead to the saving of approximately 140,000 tonnes of CO2 per annum, and
  3. The project will have a demonstration effect of new, replicable behaviour and activities by helping to build a wind farm at a time of continuing regulatory uncertainty in Poland and sending a strong signal of the bankability of such projects.

The Client

Pekanino Wind Invest Sp. z o.o. and Gorzyca Wind Invest Sp. z o.o. - private limited liability companies, being special purpose companies incorporated in Poland and fully owned through an intermediary holding company by Invenergy Poland Darlowo Holdings SARL and Enerco Sp. z o.o Sp. komandytowa. Invenergy is the USA’s largest independent wind power generation company. Enerco has been one of the most active local players on the Polish renewable energy market since 2000.

EBRD Finance

Provision of a limited-recourse long-term financing denominated in Polish zloty in the amount of up to PLN 230 million (€55 million equivalent) representing up to 35 per cent of the total project cost. The Bank’s financing will be used for the construction and operation of the project. The remaining funding for the project is expected to be provided by other financial institutions and the sponsors.

Project Cost

Approximately PLN 620 million (€150 million).

Environmental Impact

Categorised A.

The project is the expansion of an existing and operational wind farm to over 250 MWe and is located in the proximity of a Natura 2000 area, Baltic Sea Shore, which is a bird migratory route. Due to the size, location and cumulative impacts, the project required an Environmental and Social Impact Assessment (ESIA) in accordance to the Bank's Environmental and Social Policy prior to Board consideration. An ESIA disclosure package was disclosed by the Sponsor on the 7 May 2014.

An independent consultant was retained by the Bank to undertake an Environmental and Social Due Diligence (ESDD) of the project. The ESDD confirmed that the project will have limited impacts on any protected areas, and is structured to comply with the Bank’s Performance Requirements, National and EU environmental legislation. This includes the EU EIA Directive and the EU Habitats Directive as transposed into Polish legislation.

The ESDD has confirmed that the Sponsor has been implementing best practice at the existing wind farm sites and for the initial phases of Darlowo, a bird radar has been used, among the first in Poland, to assess risk to birds. This has demonstrated that the existing wind farm has had limited environmental impacts. Nevertheless, the ESDD identified additional measures to be implemented as part of best practice and these have been included in an agreed Environmental and Social Action Plan (ESAP). These include among others additional monitoring and development of additional EHS management measures that would cover all the Darlowo farms. This will enable to EHS issues to be manage in a similar manner for all operations and therefore reduce cumulative impacts.

Following ESIA disclosure and the 60-day public review and comment period, all concerns raised will be summarised and responded to for EBRD Board consideration. The ESAP may also be amended if new information or analyses suggest this would improve environmental and social performance of the project. This Project Summary Document will be updated in case of important new information or significant revisions to the ESAP.

There is an Environmental and Social Impact Assessment available for this project.

Technical Cooperation

None.

Company Contact

For project and financial matters contact:

Enerco Sp. z o.o. Sp. k.
Tel: +48 22 548 48 60

 

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

Public Information Policy (PIP)

The PIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

Project Complaint Mechanism (PCM)

The Project Complaint Mechanism (PCM) is the EBRD's accountability mechanism. It provides an opportunity for an independent review of complaints from individuals and organisations concerning EBRD-financed projects which are alleged to have caused, or are likely to cause, environmental and/or social harm.

Please visit the Project Complaint Mechanism page to find information about how to submit a complaint. The PCM Officer (pcm@ebrd.com) is available to answer any questions you may have regarding the submission of a complaint and criteria for registration and eligibility, in accordance with the PCM Rules of Procedure.