Saudi-listed ACWA Power, the world’s largest private water desalination company and a leader in energy transition and green hydrogen, has announced the completion of the dry financial close for the USD 533 million Tashkent Riverside project in Uzbekistan. This project includes a 200MW solar photovoltaic (PV) plant and the largest battery energy storage system (BESS) in Central Asia, aimed at stabilizing the Uzbek grid.
The financing documents were signed with six lenders, including the European Bank for Reconstruction and Development (EBRD), Islamic Development Bank (IsDB), DEG, Proparco, Standard Chartered, and KfW-IPEX Bank. Total debt from the signings stands at USD 386 million, making up more than two-thirds of the project’s total cost.
Marco Arcelli, Chief Executive Officer of ACWA Power, remarked, “In a world that is looking for greater participation of private capital in emerging markets to support growth and decarbonization, Uzbekistan is a case study under the vision and leadership of its Government and lenders like EBRD, DEG, Islamic Development Bank, Proparco, KfW-IPEX Bank, and Standard Chartered. The agreement today for the Tashkent Riverside project reflects the strong trust placed in ACWA Power as the private sector partner, and one of the global leaders in renewables and energy storage. This trust is built on our unparalleled track record and we look forward to the successful execution of this new project to contribute to the country’s ambitious low carbon future.”
Nandita Parshad, Managing Director, Sustainable Infrastructure Group at EBRD, said, “We are proud to partner with ACWA Power and co-financiers on the pioneering Tashkent Solar PV and energy storage project in Uzbekistan, the largest of its kind in Central Asia. The project is core to Uzbekistan’s ambition to install 25GW of renewables by 2030. This project can power 170,000 households and the battery storage capacity is equivalent to 8000 electric vehicles.”
The project will play an instrumental role in achieving Uzbekistan’s ambitious targets to transition to a low-carbon economy as well as diversify its energy sources. By 2030, Uzbekistan is aiming to generate 40% of its electricity from renewables.
The BESS will help to mitigate the effects of intermittency that are inherent in renewable energy sources, storing excess electricity generated during times of high production and making it available during periods of low production. This will ensure a constant and reliable supply of electricity to the grid, ultimately helping to meet the growing demand for energy in Uzbekistan.
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