Green Forum • 15 May, 2024 at 8:45 AM
EBRD has allocated a €15 million loan to Photon Energy NV (Photon), a prominent regional producer of renewable energy, to bolster its operations in Romania and Poland.
This investment from the EBRD will facilitate Photon in finalizing the construction of a series of six solar parks in Romania, collectively generating 29 MW of power. This move is expected to enhance Photon's capabilities to further develop additional renewable energy ventures within the EBRD regions.
In addition to supporting Photon's endeavors in Romania, the EBRD will also aid Lerta, Photon's subsidiary specializing in energy management services in Poland. This assistance will come in the form of investments in research and development, aimed at enhancing Lerta's technological expertise and broadening its range of services. Such developments will position Lerta favorably in Poland's forthcoming capacity market and demand-side response auctions.
Companies like Photon, experiencing rapid growth in the renewable energy sector, play a pivotal role in the European Union's (EU) energy policies and efforts towards decarbonization. Concurrently, the establishment of efficient energy service markets is crucial for optimizing the utilization of available renewable resources and ensuring grid stability while maintaining a balance between demand and supply in the electricity network.
The loan provided by the EBRD is backed by first-loss risk coverage from the European Union (EU) under its InvestEU program.
Grzegorz Zieliński, EBRD Director and Head of Energy Europe expressed confidence in this initiative, highlighting that it marks the EBRD's first renewable energy project in Romania structured entirely on a merchant basis. This approach showcases a market-oriented solution for advancing Romania's renewable energy sector, potentially fostering a more competitive renewable energy and electricity market.
Photon Energy NV operates across various regions, boasting an operational portfolio of 133 MW in small to mid-sized solar PV power plants spanning Romania, Czechia, Slovakia, Hungary, and Australia. Through its subsidiary Lerta, the company is a significant provider of demand-side response services in Poland.
The EBRD, known for its leadership in climate finance, has thus far invested over €11 billion in 528 projects in Romania and more than €14 billion in 527 projects in Poland.