The European Bank will fully finance the construction of a solar station in Odesa region

A solar station with a capacity of 14 MW will be built in Odesa region, near the village of Bilolissia.  The project will be fully financed by the European bank without the participation of domestic financial institutions. The Polish bank Bank Pekao s.a will allocate more than 12 million euros for a period of up to 9 years at 3.85% per annum.  It is reported by Ecotown.

Red Forest is acting as the Ukrainian investor.  It is part of the Khoros group and specializes in laying bulk power transmission.

 Hanplast, a Polish manufacturer of solar panels, acted as the general contractor of the project, which opened a representative office in Ukraine.

“3.85% per annum includes bank interest, as well as interest to the general contractor and insurance services of the international Kuke corporation”, explains Oleh Voroshylivsky, technical director of the Hanplast representative office in Ukraine. “In order to develop clean energy in Ukraine, we need loans based on the European model – cheap and long-term, and Ukrainian banks cannot offer us this yet”.

In the EU, banks lends small solar stations with a capacity of up to 1 MW for a period of more than 10 years at 0.5-1.5% per annum, he notes.  “It is usually not profitable to build solar power plants with Ukrainian loans, especially now, when a feed-in tariff will decrease by 20% next year”, says Oleh Voroshylivsky.  “Thanks to the European bank, we have the opportunity to build a 14 MW SPPP, which will pay off in 4-5 years”.

Recall that the capacity of clean energy in Ukraine has increased by 1 GW for three months.  During this period, 94 new solar power plants, 6 wind farms, 3 biomass stations and 4 small hydroelectric power stations were built in Ukraine.

Tags: The Cabinet of Ministers, contracts, renewable energy, tariffs, solar energy, EBRD, legislation, electricity, NEURC, EU, The Minystry of Energy and Coal Mining, feed-in tariff, ETL, electricity market, foreign affairs

Read also

Ukrainians recognized environmental issues as the most threatening
A capacity of the first solar power plant in Chernobyl is planned to be increased to 100 MW
2.1 GW floating SPP to be built in South Korea