Nur-Sultan, July 9 - Neftegaz.RU. The Kazakh solar market is steadily growing amid investment from regional development banks and independent power producers. Total Eren said the 128 MW of generation capacity is just the 1st of its projects in central Asia.
The developer expects cumulative project costs to reach KZT 59.7 billion ($157 million) and financing, which Total Eren said was almost complete, includes an agreement with the European Bank for Reconstruction and Development (EBRD) to provide KZT 9.8 billion for the Nomad project. The developer has been able to secure loan financing for the M-KAT project from the Asian Development Bank, which has provided KZT 11.3 billion, with the EBRD lending another KZT 21.5 billion on top. The agreements have been signed and financial close is expected within weeks.
Kazakhstan’s Financial Settlement Center for Renewable Energy Sources will buy the electricity generated by both plants for 15 years under a power purchase agreement (PPA) for which contracts were signed in September 2016 for the M-KAT project and in February 2017 for the Nomad facility. The Financial Settlement Center – owned by national grid operator the Kazakhstan Electricity Grid Operating Company – was established in 2013 to facilitate the retail of renewable energy.
The Kazakh solar market has experienced a significant push in the last 2 years with the nation’s total installed PV capacity jumping from just 59 MW at the end of 2017 to around 210 MW at the end of last year, according to statistics published by the International Renewable Energy Agency.
Author: Marian Willuhn
