The Green for Growth Fund (GGF), advised by Finance in Motion, is contributing EUR 31.85 million to the 158 MW Cibuk 1 wind farm and the 42 MW Alibunar wind farm, which are among the first big wind farms in Serbia.
As stated in the press release, GGF is contributing EUR 18.35 million to the Cibuk 1 wind farm
, the largest wind project in Serbia and the Western Balkans to date. The GGF is a B lender to the European Bank for Reconstruction and Development (EBRD), who together with the IFC, led the structuring of the transaction. Together, the EBRD and the IFC are providing the financing package of EUR 215 million in total, partially through syndication.
The wind farm, which will be comprised of 57 wind turbines from General Electric is being built by Vetroelektrane Balkana, owned by Tesla Wind, a joint venture between Masdar, a renewable energy company based in Abu Dhabi, DEG German Investment and Development Corporation, and Taaleri Group, a Finnish asset management company, GGF announced.
– GGF has demonstrated its support for Serbia’s commitment to achieve 27% of its energy consumption from renewable energy sources by 2020 – GGF said.
The GGF is also supporting the Alibunar wind farm
with EUR 13.5 million of financing through an International Finance Corporation (IFC) B loan. The IFC, a member of the World Bank Group, serves as the Lender of Record and structuring bank for the project.
– We are proud to support the growth of the renewable energy sector in Serbia at its inception – GGF Chairman Christopher Knowles said and added that the fund fostered growth of renewable energy in Southeast Europe and that the two wind farms were a trailblazing example for the region.
GGF says that, through these two projects, they will help to reduce greenhouse gas emissions by approximately 50,000 metric tons per year.
The GGF was initiated as a public-private partnership in December 2009 by Germany’s KfW Development Bank and the European Investment Bank, with financial support from the European Commission, the German Federal Ministry for Economic Cooperation and Development, the EBRD, and the Austrian development bank OeEB.