BAKU, Azerbaijan, September 15. Half of Kazakhstan’s installed renewable capacity has been financially supported by the European Bank for Reconstruction and Development (EBRD), Trend reports citing the EBRD.
As Kazakhstan declared an intention to move towards a low-carbon and climate-resilient economy by cutting the use of coal-fired power stations and reducing greenhouse gas emissions by the end of 2030, the EBRD intensified its cooperation with the national gas firm QazaqGaz.
Various financial facilities with QazaqGaz were designed to promote energy efficiency, reduce carbon intensity in the gas sector and increase the use of domestically produced natural gas in order to replace the use of coal across Kazakhstan.
More recently, the EBRD has worked with companies such as ShalkiyaZinc to promote sustainable mining and create new inclusive job opportunities. The Bank’s award-winning project with the Atyrau oil refinery helped upgrade the company’s wastewater treatment facilities, giving the region a major environmental boost.
In line with the ambition to ensure that green financing accounts for more than 50 per cent of EBRD annual business volume by 2025, the Bank has actively supported renewable power generation in Kazakhstan. In fact, half of the country’s installed renewable capacity has been financially supported by the EBRD.
Since 2014, the EBRD, the Clean Technology Fund (CTF) and the Green Climate Fund (GCF) have jointly committed substantial resources to renewable energy generation projects across Kazakhstan. These have included solar plants in Chulakkurgan, Baikonur and Zhangiz-tobe.
The Bank also financed the construction of China’s Risen Energy solar plant in the Karaganda region, Nomad Solar in the Kyzylorda region and the Zadarya solar power plant near the city of Shymkent. The Burnoye solar plants, financed by the EBRD, were the first utility-scale renewable energy projects in Kazakhstan under legislation enabling private investment in the sector.
In parallel, in 2016, the Bank launched an ambitious programme with the CTF and GCF, targeting further advancement of the country’s green agenda by supporting private renewable energy projects through the Kazakhstan Renewables Framework.
The Framework aims to finance €500 million of renewable-energy and grid-integration projects, supporting the country’s commitments to cutting emissions under the Paris climate agreement. The facility promotes solar, wind, hydro, biogas, distribution and transmission projects and is helping reduce CO2 emissions by at least 500,000 tonnes per year.