The European Bank for Reconstruction and Development (EBRD) has agreed to finance the second phase of developing the Banie wind farm in north-western Poland with a 56MW extension.
“Bringing phase 2 of the Banie wind farm to the grid is an important step forward for Poland’s energy balance. It will allow the country to make progress with the reduction of CO2 emission and reaching the targets for the production of renewable energy,” Grzegorz Zieliski, EBRD Director for Poland and the Baltics, said.
The EBRD said in May it will extend its earlier financing with an additional PLN162m (EUR37m) loan to finance phase 2 of the project. An additional PLN90m (EUR20m) will be provided by Alior Bank.
Banie wind farm is indirectly owned by Energix Renewable Energies Ltd., an independent Israeli renewable energy producer listed on the Tel Aviv Stock Exchange.
The first phase of the project was the successful installation of 50MW capacity. It is fully operational.
Phase 2 of the wind farm will reportedly lead to reductions of approximately 97,000 tons of CO2 emissions each year. With Poland generating over 80% of its energy from coal- and lignite-fired power plants – and also recent moves by the government that are believed to hamper the development of wind power in Poland – the EBRD’s move is confirmation of its commitment in the area.
The EBRD loan is being provided under the Integrated Approach to Polish Renewables, a framework aiming to support private investments in renewable energy technology to boost Poland’s efforts to reduce its dependence on fossil fuels.
“Energix is honored and proud to sign one of the largest renewable energy financing transaction in Poland with first tier reputable Lenders EBRD as the leader of the consortium, Alior Bank and BOS Bank,” Asa Levinger, CEO of Energix, said.
Levinger said that part of the refinanced equity will allow Energix to invest and develop new renewable energy projects in the future.
Since the beginning of its operations in Poland in 1991, the EBRD has invested EUR7.9bn in over 366 projects in the country. The bank is active in all sectors of the economy, but with a specific focus on renewables, where – via both debt and equity – it has financed wind farm projects with a total installed capacity close to 1GW.