The European Bank for Reconstruction and Development (EBRD) Board of Directors has approved a US$500 million regional project that will help finance the delivery of crucial energy supplies from the Caspian Sea through to Europe along the Southern Gas Corridor (SGC) and make an important contribution to energy security and diversification.
The EBRD financing will fund the completion of the Trans-Anatolian Natural Gas Pipeline (TANAP) that passes through Turkey. TANAP is a key part of the SGC which will strengthen Europe’s energy security, promote interconnectivity and open gas markets. It will also help provide a better energy supply mix for consumers in the Balkans and south-eastern Europe as well as achieve significant CO2 reductions through the substitution of obsolete coal-fired power plants.
The shareholders of TANAP are the State Oil Company of Azerbaijan (SOCAR) (58 %), Botas (30 %) and BP (12 %).
The World Bank (WB) would also allocate some funds to the project, according to Bloomberg.
The Southern Gas Corridor includes gas infrastructure investments into a 3,500-kilometre pipeline running through six countries with a total cost of US$40 billion. The key components are the Shah Deniz offshore gas field in Azerbaijan, the Southern Caucasus Pipeline in Azerbaijan and Georgia, TANAP in Turkey and the Trans Adriatic Pipeline (TAP) through Greece, Albania and Italy. The initial annual throughput capacity will be up to 16 billion cubic metres, which is equivalent to the annual energy consumption of more than 10 million households in the region.
During the last 2 months we have reported about several news related to the EBRD:
Statkraft, a Norwegian renewable energy operator, has sold its 517 MW Cetin hydroelectric plan located in Turkey to Limak Holding.
Read moreEight international consortia including European, Chinese and US-based partnering with local businesses, have submitted bids in Turkey’s first wind energy tender involving 1-GW of capacity.
Read moreA joint venture formed by Kalyon Enerji and Hanwha Q CELLS won the tender to build a 1 GW solar photovoltaic (PV) plant in the Karapınar region in Turkey on March 20th,2017.
Read moreGeneral Electric (GE), Borusan EnBW Enerji, Fina Enerji and Özgül Holding signed Memorandum of Understanding to collaborate on the installation, operation and financing of a joint wind farm as part of the YEKA, the largest wind project in renewable energy in Turkey.
Read moreNextEnergy Solar Fund Limited (NESF) has announced the signing of a £150 million (US$189 million) debt facility with a syndicate of lenders including Macquarie Infrastructure Debt Investment Solutions (MIDIS), National Australia Bank (NAB) and Commonwealth Bank of Australia (CBA).
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