PMFORUM Breaking News
Breaking News in the Project Management World
Monday, September 06, 2010
EBRD Announces Funding for State-of-the-Art Power Plant in Slovenia
The
EBRD has approved a loan of up to €200 million loan to the Slovenian
state-owned thermal power plant, Termoelektrarna Šoštanj, to co-finance
its modernisation programme. Located in the city of Šoštanj in the
north-east of the country, Šoštanj Thermal Power Plant is a fully-owned
subsidiary of Holding Slovenske Elektrarne d.o.o., the biggest producer
and wholesaler of electricity in Slovenia.
The
Šoštanj Thermal Power Plant is an indispensable source of electricity,
thermal energy for industrial use and district heating supplying a
large part of the Šaleška Valley. It accounts for one third of
Slovenia's electricity production, playing a vital role in Slovenia's
security of supply. The EBRD loan will support the construction of a
new state-of-the-art coal-fired Unit with a capacity of 600 megawatts
that will replace five existing low efficiency and high carbon
intensity units.
The project will utilise high energy-efficient technology and will contribute to significant carbon emissions reduction, of around 1.2 million tons CO2 annually. This carbon reduction represents around eight per cent of Slovenia's total green-house gas emissions. The new unit is also designed to be Carbon Capture Storage ready (CCS-ready), and will be the Bank's first project able to apply CCS technology.
The
EBRD Board based its approval on a staff report which concluded on the
basis of an exhaustive review that the project meets the EBRD's mandate
and policies, including its Environmental & Social Policy as well
as its strict procurement and integrity standards. Structured under the
Bank's A/B loan scheme, approximately €100 million will be retained on
the EBRD's account, with the rest of the amount to be syndicated to
commercial banks. The project will be co-financed by the European
Investment Bank.
The European Bank for Reconstruction and Development (EBRD) was established in 1991 to help build market economies and democracies in countries from central Europe to central Asia. The EBRD is the largest single investor in the region and mobilizes significant foreign direct investment beyond its own financing. Owned by 61 countries and two intergovernmental institutions, the EBRD provides project financing for banks, industries and businesses. The Bank uses its close relationship with governments in the region to promote policies that will bolster the business environment, and only works in countries committed to democratic principles and respect for the environment. For more information, visit http://www.ebrd.com/index.htm
Source: EBRD news release in July
The project will utilise high energy-efficient technology and will contribute to significant carbon emissions reduction, of around 1.2 million tons CO2 annually. This carbon reduction represents around eight per cent of Slovenia's total green-house gas emissions. The new unit is also designed to be Carbon Capture Storage ready (CCS-ready), and will be the Bank's first project able to apply CCS technology.
The European Bank for Reconstruction and Development (EBRD) was established in 1991 to help build market economies and democracies in countries from central Europe to central Asia. The EBRD is the largest single investor in the region and mobilizes significant foreign direct investment beyond its own financing. Owned by 61 countries and two intergovernmental institutions, the EBRD provides project financing for banks, industries and businesses. The Bank uses its close relationship with governments in the region to promote policies that will bolster the business environment, and only works in countries committed to democratic principles and respect for the environment. For more information, visit http://www.ebrd.com/index.htm
Source: EBRD news release in July