July 31 (Renewables Now) - The European Bank of Reconstruction and Development (EBRD) will lend up to EUR 149 million (USD 166.1m) to Ukraine’s Ukrenergo to upgrade its power transmission network and accommodate more renewables.
The financial support will help Ukrenergo improve its major transmission infrastructure required for the synchronisation with the European electricity networks, the EBRD said on Tuesday. The funds will be provided in the form of a 15-year sovereign-guaranteed loan.
As part of the project, the Ukrainian firm will buy up to 26 new transformers and upgrade 12 high-voltage substations in key locations of the Ukrainian transmission network. This will facilitate it in accommodating more wind and solar into the grid and in turn help the country lower its carbon dioxide (CO2) emissions by 20,500 tonnes per year.
The EBRD pointed out it has invested almost EUR 13.6 billion in Ukraine since it launched operations there in 1993.
(EUR 1.0 = USD 1.115)