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IFC Supports Renewable Energy Projects
in Russia’s Far East
Moscow, Russia, March 27, 2013
— IFC, a member of the World Bank Group, has signed an advisory services
agreement with eastern Russia’s largest energy supplier to develop renewable
energy sources in isolated areas of the country, part of an effort to decrease
local dependence on imported fuel and cut greenhouse gas emissions.
IFC will help RAO Energy System of East
identify renewable energy opportunities in Russia’s Far East Federal District.
Through its Russia Renewable Energy Program, IFC will also support the
joint-stock company as it reviews local regulations and identifies investment
“The agreement with IFC will help us
intensify our work in renewable power generation,” said Alexey Kaplun,
Deputy CEO of RAO Energy System of East. “With the very high cost of fossil
fuel in areas with decentralized power supplies, it is important to develop
renewable energy as an environmentally friendly and cost-effective power
source for many communities in the Far East.”
The agreement is part of IFC's efforts
to support climate-conscious private businesses in Europe and Central Asia.
“Renewable energy is a cost-effective
alternative to fossil fuels in many regions of Russia,” said Tomasz Telma,
IFC Director for Europe and Central Asia. “Partnerships with strong local
players, like RAO Energy System of East, can help us bring affordable green
power to people living in isolated areas of the country.”
In fiscal 2012, IFC invested $436 million
in 22 companies to support climate-friendly investments in renewable energy,
energy efficiency, and water provision across Europe and Central Asia.
IFC oversees 37 advisory projects that aim to increase investment by providing
advice to governments and businesses. IFC also works to reduce its environmental
footprint by making its regional facilities carbon-neutral.
Russia became a member and shareholder
of IFC in 1993. Since then, IFC has invested more than $10 billion in the
country, including $3.2 billion in syndicated loans, and has been involved
in 270 projects across a variety of sectors. IFC’s investment portfolio
in Russia stands at $2.3 billion, the fourth-largest country exposure for
IFC, a member of the World Bank Group,
is the largest global development institution focused exclusively on the
private sector. We help developing countries achieve sustainable growth
by financing investment, mobilizing capital in international financial
markets, and providing advisory services to businesses and governments.
In FY12, our investments reached an all-time high of more than $20 billion,
leveraging the power of the private sector to create jobs, spark innovation,
and tackle the world’s most pressing development challenges. For more
information, visit www.ifc.org.