The European Investment Bank (EIB) announced it is supporting the construction of one of the largest solar energy projects developed and under implementation in Greece with a €28.5 million loan backed by an EU budget guarantee under the InvestEU programme.
The loan has been granted to PPC Renewables, a wholly-owned subsidiary of the Greece’s largest power generation, Public Power Corporation S.A., for the project, which will be located in Kozani, Western Macedonia, and will comprise three solar farms which will have total capacity of 230MWp.
The EIB financing will reach a maximum amount of €35 million over the coming months which will also help to increase renewable energy production and support just transition efforts in Greece’s Western Macedonia region as part of the ambitious Greek National Energy and Climate Plan.
The EIB financing is part of a €102.4 million Project Finance debt package comprising €95.1 million long term facilities and €7.3 million medium term construction VAT financing. EIB worked together with Eurobank SA (ERB) and National Bank of Greece SA (NBG), which committed in equal shares 70% of the long-term facilities and 100% of the medium-term VAT financing.
The EIB has financed long-term investment by PPC Group since 1964. Over the last decade the bank has provided more than €4.3 billion for energy investment in Greece via PPC and other public and private Greek energy partners, including improving connections to Greek islands, harnessing renewable energy, and accelerating energy efficiency investment.
Source: Press release by European Investment Bank (EIB). Photo credit: © (EIB).