Abu Dhabi Future Energy Company (Masdar) announced yesterday the completion of the financial close for a $225 million financing deal for the 300 MW Guzar Solar Power Plant with a 75 MWh battery energy storage system, located in the Kashkadarya region of Uzbekistan. The European Bank for Reconstruction and Development (EBRD) will provide up to $195.5 million to finance the project, including contributions from Canada and Finland under the 'Private Sector High-Impact Partnership on Climate Action' fund and the Japan-EBRD cooperation fund. The Asian Development Bank (ADB) will also provide $30 million in financing, including contributions from various funds such as the 'Asia 2 Private Infrastructure Leading Fund' and the 'Canadian Climate and Nature Fund for the Asian Private Sector', both managed by the ADB. Meanwhile, the National Bank of Abu Dhabi (NBAD) will provide hedging for the deal. The agreement to complete the financial close was signed by Masdar's Chief Operating Officer, Abdulaziz Al-Abdulla, along with representatives from the EBRD, ADB, and NBAD during a ceremony held at Masdar's pavilion at Abu Dhabi Sustainability Week, in the presence of Minister of Energy and Infrastructure Suhail Al-Mazrouei, Deputy Prime Minister of Uzbekistan Jamshid Khojayev, Minister of Energy of Uzbekistan Jurabek Mirzamakhmudov, and Masdar's CEO, Mohamed Jameel Al-Ramahi.
Mohamed Jameel Al-Ramahi said: "We are pleased to complete the financial close of a new project that will be added to our portfolio of renewable energy projects in Uzbekistan." He expressed Masdar's pride in collaborating with partners in Uzbekistan since 2021 to develop renewable energy projects with a total capacity of over two gigawatts, contributing to the achievement of national clean energy goals.
Masdar is responsible for the design, construction, and operation of the solar power plant and battery energy storage system under a public-private partnership agreement signed with Uzbekistan's National Electric Power Company. The project is expected to prevent the emission of over 400,000 tons of carbon annually and provide electricity to approximately 60,000 homes, supporting Uzbekistan's goal of generating 54% of its electricity from renewable sources by 2030.
