EBRD co-finances major renewable energy and battery project in Central Asia
Published by Jessica Casey,
Editor
Energy Global,
The European Bank for Reconstruction and Development (EBRD) is providing a comprehensive financing package of US$142 million (€121 million) for two special-purpose vehicles (SPVs) that will develop Uzbekistan’s and Central Asia’s largest combined solar photovoltaic and battery energy storage project to date.
The two SPVs (ACWA Power Sazagan Solar 1 and ACWA Power Sazagan Solar 2) will be majority owned by ACWA Power – an international developer, investor, co-owner, and operator of a portfolio of power-generation and desalinated-water-production plants. The SPVs will be co-owned by Sumitomo Corp., Shikoku Electric Power Co., and Chubu Electric Power Co. The investment marks the first foray into renewable energy and battery energy storage systems (BESSs) in Uzbekistan by the Japanese investors.
The financing package consists of two senior secured loans. The first loan, of US$61 million (€52 million equivalent), will be provided to ACWA Power Sazagan Solar 1 for the development, construction, and operation of a 500 MW solar photovoltaic power plant and a 668 MWh BESS in the Samarkand region of Uzbekistan. The second loan, of US$ 81 million (€69 million equivalent), will be made available to ACWA Power Sazagan Solar 2 for the development, construction and operation of a 500 MW solar photovoltaic power plant in the Samarkand region and a 668 MWh BESS in Uzbekistan’s Bukhara region.
The project is expected to be co-financed by the Japan Bank for International Cooperation, Nippon Export and Investment Insurance covered lenders, the Asian Development Bank and Islamic Development Bank. Together, the two SPVs will introduce the largest combined solar photovoltaic (1 GW) and BESS (1336 MWh) capacity in Uzbekistan and across the region. This unprecedented deployment of BESS capacity will help the grid to mitigate the intermittency of renewable energy sources. The BESS technology will improve grid reliability and flexibility by making additional energy capacity available during periods of peak demand.
For more news and technical articles from the global renewable industry, read the latest issue of Energy Global magazine.
Energy Global's Autumn 2025 issue
Explore the latest insights into the renewable energy sector in the Autumn issue of Energy Global, out now! This edition features a regional report on the Asia Pacific from Aurora Energy Research, mapping out why the wholesale price cap is detrimental to the energy transition in India. The issue then delves into articles covering crucial topics such as digitalisation in renewables, inspection & maintenance, developments in floating offshore wind, coatings, solar optimisation and more. Contributors include Flotation Energy, DNV, Sarens, NEUMAN & ESSER, Teknos, and more, so this issue is not one to miss!
Read the article online at: https://www.energyglobal.com/electric-hybrid/29102025/ebrd-co-finances-major-renewable-energy-and-battery-project-in-central-asia/
You might also like
EDF power solutions awarded solar PV power project in Saudi Arabia
EDF power solutions and Saudi Electricity Company have signed a 25-year power purchase agreement with the Saudi Power Procurement Company for the development of the Samtah solar PV power project.