EBRD Finances €40.1 Million Elektroprivreda BiH Green Transition

  • EBRD is providing a €25.1 million loan to Elektroprivreda Bosne i Hercegovine (EPBiH), the largest public electricity generation and distribution utility in Bosnia and Herzegovina.
  • Also, as part of the project, a comprehensive assessment of the EBRD supports a 2050 technical cooperation initiative, in which several 2050 decarbonisation scenarios for EPBiH.

The European Bank for Reconstruction and Development (EBRD) is providing a €25.1 million loan to Elektroprivreda Bosne i Hercegovine (EPBiH), the largest public electricity generation and distribution utility in Bosnia and Herzegovina, to develop and construct a 50 MWp solar power plant on a former coal ash landfill site.

In addition to its financing, the EBRD has helped to mobilise further funds for the project, with UniCredit Bank d.d. providing a parallel loan of €15 million.

The proceeds of the loans will be used to develop, construct and operate two adjacent solar power plants (SPPs), with a combined capacity of 50 MWp, in the municipality of Gračanica.

The twin SPPs’ development will be the company’s largest solar project to date and among its most significant investments in renewable energy. The project is part of a broader cooperation between the EBRD and EPBiH to facilitate the company’s transition to renewable energy.

Also, as part of the project, a comprehensive assessment of the EBRD is supporting a 2050 technical cooperation initiative, in which several 2050 decarbonisation scenarios for EPBiH, along with their impact on EPBiH’s operations, financial capital requirements, planning, project implementation structures and communication with stakeholders.

A second technical cooperation initiative will support EPBiH in working with the authorities to introduce new educational standards in renewable energy, focused on a just transition in the context of workforce management challenges associated with decarbonisation.

Austria provides technical support for project preparation and implementation and advisory support through the Austrian Municipal Infrastructure Fund and the Austrian High-Impact Partnership on Climate Action. The EBRD’s Shareholder Special Fund is providing additional funds for technical support.

Such projects and the associated technical support are crucial to the decarbonisation of Bosnia and Herzegovina, with the country targeting a 43.6 per cent renewable energy share by 2030.

The EBRD has invested over €3.2 billion in 233 projects in Bosnia and Herzegovina. Likewise, the Bank’s strategic priorities in the country are to promote the green economy, support the development of the private sector and foster regional integration.

Leave a Reply

Your email address will not be published. Required fields are marked *