Translated version of this PSD: Russian
Financing for the construction of a 30 MW solar power plant in the Kyzylorda region of Southern Kazakhstan (the "Project") in the form of an up to EUR 23 million senior loan.
Located in the electricity-constrained southern part of the country, the Project will help reduce dependence on electricity import from other regions (mostly coal fired plants in the North) and reduce associated transmission losses.
This will be the first involvement of the Project's sponsor (Total EREN SA) in the Kazakh market, and the Project is expected to have a demonstration effect with a potential to pave the way for more foreign investment in the renewables sector of Kazakhstan. Furthermore, the Project will demonstrate the viability of project finance structures that are still scarce in the Kazakh market. The Project could result in carbon savings estimated at around 49,000 tonnes of CO2 for the country in a sector which is dominated by aged coal-fired plants.
The Project will be part of the Kazakhstan Renewables Framework.
NOMAD SOLAR LLP
Nomad Solar LLP, a special purpose entity established in the Republic of Kazakhstan to implement the Project, will act as a borrower. The borrower will be 100% owned and operated by Total EREN SA (France).
EBRD Finance Summary
Up to EUR 23 million senior loan to Nomad Solar LLP with no recourse to the Sponsor.
Total Project Cost
KZT 13.0 billion (equivalent to EUR 30.5 million)
Environmental and Social Summary
Category B (ESP 2014). Environmental and social aspects associated with construction and operation of a greenfield 30 MW solar photovoltaic power plant can be readily assessed as part of an Environmental and Social Due Diligence (ESDD) and mitigated via an Environmental and Social Action Plan (ESAP). This Project is associated with GET and its share makes 100%.
An independent ESDD has confirmed that the Project is fully compliant with the host country's Environmental, Health and Safety and Social legislation and is structured to meet the Bank's Performance Requirements (PRs) through employment of good Environmental and Social management practices, implementation of ESAP and monitoring.
Any potential adverse environmental or social impacts are associated mainly with the construction activities and use of the contractor's work force, specifically: labour and social aspects, construction health&safety and Environmental and Social management systems. No significant impact on the land use, community activities and livelihood were identified. The impacts of the biodiversity are also expected to be low due to location and the absence of sensitive receptors.
A number of the Environmental and Social management improvements items were included into ESAP, inter alia: enhancement of the EHS management system, contractor and supply chain management, traffic management, emergency preparedness, grievance mechanism and Stakeholder Engagement Plan. As part of implementing the ESAP requirements, the Company will implement Corporate Social Responsibility Program (CSRP) aimed at community development and increasing awareness of the Project. The CSRP will also include a community outreach program and the Company plans to support the local social infrastructure.
The ESAP has been agreed with the Client and its implementation and overall E&S performance will be monitored by the Bank via the review on the Annual Environmental and Social Reports. Stakeholder Engagement Plan (SEP) and Non-Technical Summary (NTS) and for the Project were prepared and disclosed on the Company's web site. The Bank will monitor the implementation of the ESAP and CSR program.
TC funding will be sought to co-finance due diligence costs under the existing Kazakhstan Renewables Framework Programme (KAZREF) designed to support renewable energy projects in Kazakhstan or the GET Project Preparation and Implementation Support Programme.
Company Contact Information
+ 7 701 801 1100
Nomad Solar LLP Kyzylorda region, Kazakhstan
For business opportunities or procurement, contact the client company.
EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
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Text of the PIP
Independent Project Accountability Mechanism (IPAM)
If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (e.g. 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 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 how to submit a Request for review through our confidential online form, by email, mail or telephone. IPAM is available to discuss your concerns and answer any questions you may have about the submission or handling of Requests, which follow the Project Accountability Policy and Guidance. Requestors’ identities may be kept confidential, upon request.