The EBRD is considering providing a loan for the development of the 158 MW Dolovo Cibuk I Wind Farm in the municipality of Kovin in the province of Vojvodina, north-eastern Serbia.
The wind project involves the construction, commissioning and operation of a 158 MW wind farm operating 57 wind turbines. It will be an independent power producer (IPP) and will sell its electrical output under a long-term 12-year power purchase agreement (PPA) with a subsidiary of the state-owned power company Elektroprivreda Srbije (EPS).
Total project investment is estimated at €300 million (US$340.2 million).
EBRD is considering to provide a senior loan of up to €75 million with the remaining funding being provided by other financial institutions and the Sponsors. The beneficiary company will be a special purpose vehicle incorporated in Serbia, “Vetro Elektrane Balkana D.o.o.”. The project company is currently 100% owned by US-firm Continental Wind Partners LLC. It is expected that Abu Dhabi Future Energy Company (Masdar) and the German development finance institution DEG will become shareholders of the company prior to construction.
The project is expected to be one of the first large-scale wind power projects to be implemented in Serbia and will help the country to meet EU renewable energy targets.