Istanbul, Turkey, June 23, 2011—IFC,
a member of the World Bank Group, and the European Bank for Reconstruction
and Development (EBRD) are helping Georgia reduce its dependence on carbon-based
electricity and increase its energy self-sufficiency by investing $115.5
million in the Paravani hydropower plant.
IFC and EBRD will provide Georgia Urban Energy, a subsidiary of Turkey’s
Anadolu Endustri Holding, with $40.5 million and $52 million, respectively,
syndicating a further $23 million with commercial banks. The 87-megawatt
Parvani hydropower plant is the first investment and project financing
by IFC and EBRD in the renewable energy sector in Georgia.
Hursit Zorlu, Chief Financial Officer
of Anadolu Group, said that the Paravani project is expanding Anadolu’s
renewable-energy generation capacity. “It will also benefit the Turkish
electricity market to which Paravani hydropower plant will be able to export
green energy,” he added.
Tuрban Aksoy, Head of the Energy Group, Anadolu Group, said, “IFC and
EBRD are playing a key role in funding the Anadolu Group's sustainable
energy investments in Georgia. We hope that this strategic support will
pave the way for other investors in the country’s renewable energy market."
The project will provide Georgia with electricity during the winter months,
when the country is energy deficient, and export to Turkey in the summer,
when Georgia has excess capacity.
“One of IFC’s key priorities is to address climate change through investments
in sustainable energy,” said Gulrez Hoda, IFC Director for Infrastructure
and Natural Resources in Europe, Middle East and North Africa. “Paravani
is a groundbreaking project that supports Georgia’s efforts to increase
renewable energy output, avoid carbon emissions, and achieve energy self-sufficiency.”
IFC, a member of the World Bank Group, is the largest global development
institution focused on the private sector in developing countries. We create
opportunity for people to escape poverty and improve their lives. We do
so by providing financing to help businesses employ more people and supply
essential services, by mobilizing capital from others, and by delivering
advisory services to ensure sustainable development. In a time of global
economic uncertainty, our new investments climbed to a record $18 billion
in fiscal 2010. For more information, visit www.ifc.org.
About IFC and Renewables
Addressing climate-change mitigation is an IFC priority that is reflected
in our achievements in renewable energy. In fiscal 2010, we increased our
investments in renewable energy to 72 percent of commitments in the power
sector, up from 28 percent in fiscal 2008. Since 2005, IFC has financed
more than $2.3 billion in renewable energy projects.
For more information about EBRD, visit: www.ebrd.com