Green Forum • 8 May, 2024 at 9:00 AM
The European Bank for Reconstruction and Development (EBRD) is extending a loan exceeding €46 million as part of a broader financing package totaling €93 million.
his funding initiative aims to facilitate the construction and operation of a 102 MW onshore wind farm located in Romania. Known as the Urleasca Wind Farm, this project constitutes a significant contribution to Romania's transition towards renewable energy sources. It is anticipated to yield approximately 277 GWh of renewable energy annually, effectively reducing carbon dioxide emissions by an estimated 115,000 tonnes per year.
This endeavor underscores the EBRD's commitment to supporting Romania's efforts in decarbonization. Such initiatives not only foster environmental improvement but also bolster the nation's energy security, particularly amidst geopolitical tensions such as Russia's conflict with Ukraine.
Grzegorz Zielinski, Head of Energy Europe at the EBRD, expressed enthusiasm for backing BIG MEGA Renewable Energy's inaugural renewable energy venture within the EBRD's jurisdiction. He noted that the wind farm is poised to benefit from corporate Power Purchase Agreements and contribute to Romania's renewable energy capacity expansion, which targets an increase of 11.9 GW in the coming years.
CEO of BIG MEGA Renewable Energy, Eran Davidi, hailed the signing of the financial agreement for the Urleasca Wind Farm as a significant milestone. He emphasized its strategic importance in advancing BIG Mega Renewable Energy's presence in Romania and the Balkans. Davidi envisioned the project as a pivotal stride towards Romania's transition to green energy and anticipated its role in paving the way for future endeavors in the sector.
Davidi also expressed gratitude towards the EBRD and OTP, their collaborating partners, for their instrumental role in financing the Urleasca project. He lauded their exceptional cooperation and steadfast commitment to project success.
Romania's aspirations in renewable energy align with broader EU objectives outlined in initiatives such as Fit for 55 and REPowerEU, aimed at substantially increasing renewable energy production by 2030. In line with these commitments, Romania pledged to elevate the share of renewables in its total energy consumption from 24.3% in 2019 to a more ambitious 36.2% by 2030, with the addition of 11.9 GW of new renewable capacity.
Urleasca Wind Farm SRL, a Romanian entity, is jointly owned by BIG Shopping Centers Ltd and MEGA OR Ltd, two Israeli firms renowned for their ownership and development of shopping malls, both listed on the Tel Aviv stock exchange.
As a leading institution in climate finance, the EBRD has invested nearly €11 billion across 524 projects in Romania to date, underscoring its commitment to fostering sustainable development in the region.