- The EBRD is providing €22.3 million to Power One in Ukraine to build 36.8 MW of gas-fired peaking plants and 31.5 MW of battery storage.
- Norway and the EU back the project, helping Ukraine integrate renewables, reduce blackouts, and secure energy during the war.
The European Bank for Reconstruction and Development (EBRD) is providing €22.3 million in financing to Ukrainian private energy company Power One to boost the country’s energy security.
The funding will support the development of new peaking gas-piston power plants with a total capacity of 36.8 megawatts and battery energy storage systems (BESS) with a combined capacity of 31.5 megawatts across western Ukraine. The facilities will help manage electricity demand, reduce power outages, and maintain a reliable supply during peak periods.
Ukraine’s energy system has faced repeated damage since Russia’s full-scale invasion. In October 2025, attacks destroyed approximately 9,000 megawatts of generation capacity, eliminating around 90% of flexible power generation and resulting in widespread rolling blackouts.
Gas-fired peaking plants can start and stop quickly to meet sudden spikes in demand and compensate for fluctuations in renewable energy. Battery systems store electricity and release it when needed, enhancing grid stability. Together, they will help Ukraine maintain reliable electricity and heating during winter and support the integration of more renewable energy in the future.
The EBRD’s loan includes a €3 million grant from Norway and partial first-loss risk coverage from the EU’s Ukraine Investment Framework. Dragon Capital owns Power One. The EBRD has invested over €8.5 billion in Ukraine since the war began.