Abu dhabi: Abu Dhabi Future Energy Company PJSC - Masdar, a global clean energy leader, has announced the financial close of a project worth over US$225 million for a 300-megawatt solar power plant and a 75-megawatt-hour battery energy storage system in Kashkadarya, Uzbekistan.
According to Emirates News Agency, the European Bank for Reconstruction and Development (EBRD) is providing up to US$195.5 million, with contributions from Canada and Finland under the Special Fund for the High Impact Partnership on Climate Action and the Japan-EBRD Cooperation Fund. The Asian Development Bank (ADB) is contributing US$30 million, with funds from the Leading Asia's Private Infrastructure Fund 2 and the Canadian Climate and Nature Fund for the Private Sector in Asia. Abu Dhabi Commercial Bank also played a role by providing hedging on the transaction.
The financial close was celebrated with a signing ceremony attended by Suhail Mohamed Al Mazrouei, Minister of Energy and Infrastructure; Jamshid Khodjaev, Deputy Prime Minister of Uzbekistan; Jurabek Mirzamahmudov, Minister of Energy of Uzbekistan; and Mohamed Jameel Al Ramahi, CEO of Masdar, during Abu Dhabi Sustainability Week. Masdar COO Abdulaziz Alobaidli signed the agreement along with representatives from EBRD, ADB, and ADCB.
Al Ramahi expressed Masdar's satisfaction with the achievement, stating, "We are delighted to have achieved financial close on another significant renewable energy project in Uzbekistan." He emphasized the importance of Uzbekistan's wind and solar resources and supportive regulatory environment, highlighting Masdar's commitment to delivering over 2 gigawatts of renewable capacity in the country since 2021.
Masdar will design, build, and operate the solar and battery project under a Public-Private Partnership agreement with JSC National Electric Grid of Uzbekistan. Once operational, the project is expected to prevent over 400,000 tonnes of carbon dioxide emissions annually and supply electricity to approximately 60,000 homes. This supports Uzbekistan's goal of generating 54 percent of its power from renewable sources by 2030.
Masdar's investments in Uzbekistan have surpassed US$2 billion, including the development of the country's first utility-scale solar project, the 100MW Nur Navoi plant. The company also signed a Battery Storage Services Agreement with JSC Uzenergosotish last November for Uzbekistan's largest standalone battery storage project, with a capacity of 300MW/600MWh in the Navoi Region.
The Commonwealth of Independent States region is a strategic market for Masdar as it aims to achieve a global portfolio capacity of 100GW by 2030. Beyond Uzbekistan, Masdar maintains an active presence in Azerbaijan, Kazakhstan, and other locations.