USELF: NBT Syvash Wind

Location:

Ukraine

Project number:

50215

Business sector:

Energy

Notice type:

Private

Environmental category:

A

Approval date:

28 Nov 2018

Status:

Disbursing

PSD disclosed:

15 Aug 2018

Translated version of this PSD: Ukrainian

Project Description

The provision of a senior A/B long-term loan of up to EUR 150 million to SyvashEnergoProm LLC (the "Borrower") to finance the construction and operation of an onshore wind farm with the total envisaged capacity of up to 250 MW located in Southern Ukraine (the "Project").

Project Objectives

The Project will help support the development of renewable energy in Ukraine and the overall decarbonisation of the energy sector.

Transition Impact

The Project will help Ukraine achieve its renewable energy targets and contribute to carbon savings.

Client Information

SYVASH ENERGO PROM LLC

The Borrower is a special purpose company incorporated in Ukraine and created to own, construct and operate the wind farm. The Borrower is owned by East Renewable Energy AB which is majority owned by NBT AS (the "Sponsor"). NBT AS is a Norwegian wind farm developer with operating wind farms in China.

EBRD Finance Summary

EUR 75,000,000.00

Long-term senior loan of up to EUR 150 million in an A/B structure, of which up to EUR 75 million would be funded from the EBRD resources and the remainder would be syndicated in a B-loan structure to eligible institutions. The remaining project financing is expected to be provided via parallel loans from IFIs, DFIs, and other investors.

Total Project Cost

EUR 369,000,000.00

Environmental and Social Summary

Category A (ESP 2014).  An ESIA disclosure package was disclosed by the Sponsor in July 2018. No material questions or issues have arisen during the consultation process.

An independent consultant was retained to undertake Environmental and Social Due Diligence (ESDD) of the Project and the consultant has worked with the Sponsor and their adviser's to develop the ESIA disclosure package. ESDD confirmed that the Project will have limited impacts on any protected area, and environmental and social issues are site specific and readily identifiable and mitigated. The Project is structured to comply with the EBRD Performance Requirements and National and EU environmental legislation.

The ESDD also confirmed that the Sponsor has been implementing Environmental and Social best practice and has the institutional capacity to fully implement the Bank's Performance Requirements. ESDD further identified additional measures to be implemented as part of best practice and which have been included in an agreed ESAP. These comprise, inter alia, additional monitoring and the appointment of an independent expert to monitor and re-evaluate any bird and bat impacts, as well as support the Sponsor in the assessment of additional cumulative impacts. It should be noted that during the ESIA preparation, some wind turbine locations were changed in order to reduce impact on birds and noise impact to local residents.

The Project will not be associated with any physical displacement and a detailed assessment is presently being conducted on economic displacement impacts. A Corporate Social Responsibility (CSR) program is also being developed and agreed with the Client to plan and carry out impact investments in local communities. 

Information on the Project can be obtained on the Company web site and EBRD web page.

The Bank will monitor the implementation of the Project.

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

Technical Cooperation

None.

Company Contact Information

Børge Tvorg
bt@nbtas.no
+47 911 93 033
www.nbtas.no
Gulliver Business Center, 1A Sportyvna sq, 17th floor, Kiev, Ukraine

Business opportunities

For business opportunities or procurement, contact the client company.

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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.