Source: eKapija | Wednesday, 02.10.2019.| 15:18
Highlight an article Print out the news

EBRD to provide EUR 72 million in loans for construction of new solid waste management facilities in Vinca

Illustration (Photo: kanvag/shutterstock.com)
Waste that has piled up over 40 years in Belgrade’s Vinča landfill will be cleaned up and new solid waste management facilities will be constructed thanks to a joint investment by international lenders.

The EBRD is contributing a EUR 72.25 million loan for its own account, while arranging a syndicated loan of EUR 35 million for the account of participants. In addition, the EBRD will mobilise EUR 21 million in concessional finance funded by TaiwanICDF.

The EBRD financing will be part of a wider package including International Finance Corporation (IFC) and Oesterreichische Entwicklungsbank (OeEB) with loans of up to EUR 72.25 million and EUR 35 million, respectively.

The total investment will be mobilised by Beo Čista Energija Ltd., a Special Purpose Vehicle formed by the global utility company SUEZ, the Japanese conglomerate Itochu and Marguerite Fund, a pan-European equity fund investing in renewables, energy and transport. The three companies entered a 25-year public-private-partnership (PPP) with the City of Belgrade in 2017 for the first large-scale environmental infrastructure PPP investment in the Western Balkans region.

The investment includes the construction of an energy from waste-facility, a facility for construction and demolition waste (CDW), the remediation, closing and aftercare of the existing landfill and the construction of a new EU compliant landfill.

It will replace the existing landfill in Vinča, a suburb of Belgrade, which is unsanitary and reaching maximum capacity. Closing the old site – which poses major environmental and health risk, including the pollution of the nearby river Danube – and improving solid waste management is a top priority for the government of Serbia and the city of Belgrade.

The new landfill will serve the growing population of the Serbian capital and create the conditions for the introduction of modern waste management and treatment technology in Belgrade. It will allow the city to meet the biodegradable waste landfill diversion as well as the CDW recovery objectives set by the EU Waste Framework Directive.

The project will promote the sustainability of the natural environment, support pollution prevention and reduce the degradation of ecosystems.

The energy from waste-facility will be designed to produce energy from waste, thus contributing to reducing the dependence of Belgrade on coal and gas and boosting the share of renewable energy. It will have capacity for a volume of approximately 340,000 tons/year of household waste and treatment of construction and demolition waste of approximately 210,000 tons/year.
Only logged-in users can comment.