Green Loan from EIB will support onshore wind farm projects in Poland

Darek Delmanowicz/PAP

The loan is the biggest EIB investment in onshore wind farms in Poland that will be constructed and operated by EDP Renewables (EDPR).

EIB has signed a EUR 66-million loan agreement with six special purpose vehicles (SPV) owned by EDP Renewables (EDPR) to support the construction and operation of six medium-sized onshore wind farms with a total nominal capacity of 150 MW in Poland, the bank said in a Tuesday press release.

"The project is also the first in Poland to benefit from an EIB Green Loan, the features of which are fully in line with the requirements set out in its climate awareness bonds programme," EIB said.

The wind farms financed by EIB's green loan are located mainly throughout the north (Kozlowo, Krasin, Lichnowy, Chojnice and Piatkowo wind farms) and the south (Bogoria wind farm) of the country.

They all have been awarded individual 15-year two-sided contract-for-differences (CfD) under auctions held in 2018 and 2019. The CfD scheme is Poland’s main mechanism for supporting low-carbon electricity generation.

The EIB investment will cover close to 50 percent of total debt with the remaining amount being provided jointly by Banco Santander and Caixabank Poland, partly backed by an ECA guarantee provided by EKF, a Danish Export Credit Agency.