{"id":814,"date":"2024-10-30T14:12:07","date_gmt":"2024-10-30T10:12:07","guid":{"rendered":"https:\/\/www.utilitybusinessmena.com\/?p=814"},"modified":"2024-10-30T14:12:07","modified_gmt":"2024-10-30T10:12:07","slug":"ifc-grants-240m-islamic-equity-bridge-loan-for-acwa-powers-clean-energy-projects-in-uzbekistan","status":"publish","type":"post","link":"https:\/\/cheeltech.com\/utilitybusinessmena\/electricity\/ifc-grants-240m-islamic-equity-bridge-loan-for-acwa-powers-clean-energy-projects-in-uzbekistan","title":{"rendered":"IFC grants $240M Islamic equity bridge loan for ACWA power\u2019s clean energy projects in Uzbekistan"},"content":{"rendered":"\n

The International Finance Corporation (IFC)<\/a> has granted a $240 million Islamic Equity Bridge Loan (EBL)<\/a> to ACWA Power<\/a>, a leading Saudi-based renewable energy developer, to advance major clean energy projects in Uzbekistan.<\/p>\n\n\n\n

The financing was announced at the 8th Future Investment Initiative in Riyadh<\/a>, and it supports Uzbekistan\u2019s clean energy ambitions by bolstering renewable infrastructure.<\/p>\n\n\n\n

The loan package will fund two critical components in Uzbekistan: a 1-gigawatt solar photovoltaic (PV) power plant and a 668-megawatt Battery Energy Storage System (BESS)<\/a>. In addition, the project includes approximately 500 kilometers of new high-voltage transmission lines, essential for integrating these renewable sources into the national grid.<\/p>\n\n\n\n

Once completed, the solar and storage facilities are expected to deliver around 2,400 gigawatt-hours of electricity annually, helping Uzbekistan reduce greenhouse gas emissions by an estimated 1.3 million tons of CO\u2082 per year.<\/p>\n\n\n\n

\u201cIFC\u2019s strategic partnership with ACWA Power reflects the confidence that global finance institutions place in our capabilities and in Saudi-led enterprises. This transaction bolsters our renewable energy initiatives in emerging markets, especially in regions such as Uzbekistan,\u201d said Abdulhameed Al Muhaidib, Chief Financial Officer of ACWA Power.<\/p>\n\n\n\n

The IFC funding is structured as an Islamic Finance Murabaha agreement, comprising an A-Loan of up to $227.75 million and a $12.25 million trust loan through IFC\u2019s Managed Co-Lending Portfolio Program.<\/p>\n\n\n\n

The financing approach optimises returns on ACWA Power\u2019s equity contributions, facilitates private sector involvement, and aligns with Uzbekistan\u2019s national goal to generate 40% of its energy from renewable sources by 2030.<\/p>\n\n\n\n

Laura Vecvagare, IFC\u2019s Regional Head of Industry for Infrastructure and Natural Resources, highlighted the broader implications of the deal: \u201cThis project exemplifies IFC\u2019s commitment to combat climate change, accelerate renewables in emerging markets, and foster effective public-private partnerships in Saudi Arabia and beyond.\u201d<\/p>\n\n\n\n

ACWA Power, active across 13 countries, has positioned itself as a major player in sustainable energy and desalination.<\/p>\n\n\n\n

As part of its ongoing partnership with IFC, which began in 2011, this venture aims not only to enhance sustainable energy but also to promote gender diversity within its workforce, reflecting a shared commitment to inclusivity in the energy sector.<\/p>\n\n\n\n

The Uzbekistan projects are part of ACWA Power’s broader mission to lead in green hydrogen and renewable technologies globally, as well as in Saudi Arabia’s domestic energy transition.<\/p>\n","protected":false},"excerpt":{"rendered":"

Once completed, the solar and storage facilities are expected to deliver around 2,400 gigawatt-hours of electricity annually<\/p>\n","protected":false},"author":2,"featured_media":321,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[70,36,40,428,41,559,539],"tags":[50,500,919,920,921,922,923,924,925,42,899,372],"class_list":{"0":"post-814","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-climate-change","8":"category-electricity","9":"category-news","10":"category-power","11":"category-renewable-energy","12":"category-solar","13":"category-sustainability","14":"tag-acwa-power","15":"tag-battery-storage","16":"tag-clean-energy-projects","17":"tag-energy-infrastructure","18":"tag-future-investment-initiative","19":"tag-greenhouse-gas-emissions","20":"tag-ifc","21":"tag-islamic-financing","22":"tag-public-private-partnership","23":"tag-renewable-energy","24":"tag-solar-photovoltaic","25":"tag-uzbekistan"},"_links":{"self":[{"href":"https:\/\/cheeltech.com\/utilitybusinessmena\/wp-json\/wp\/v2\/posts\/814","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cheeltech.com\/utilitybusinessmena\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cheeltech.com\/utilitybusinessmena\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cheeltech.com\/utilitybusinessmena\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/cheeltech.com\/utilitybusinessmena\/wp-json\/wp\/v2\/comments?post=814"}],"version-history":[{"count":0,"href":"https:\/\/cheeltech.com\/utilitybusinessmena\/wp-json\/wp\/v2\/posts\/814\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cheeltech.com\/utilitybusinessmena\/wp-json\/wp\/v2\/media\/321"}],"wp:attachment":[{"href":"https:\/\/cheeltech.com\/utilitybusinessmena\/wp-json\/wp\/v2\/media?parent=814"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cheeltech.com\/utilitybusinessmena\/wp-json\/wp\/v2\/categories?post=814"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cheeltech.com\/utilitybusinessmena\/wp-json\/wp\/v2\/tags?post=814"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}