📋 Tender Overview
Location:
Romania
Project number:
55320
Business sector:
Energy
Notice type:
Private
Environmental category:
B
Approval date:
20 Nov 2024
Status:
Approved
English-language PSD published:
13 Dec 2024
Project Description
A senior corporate loan of up to EUR 90 million to ENGIE Romania SA (the "Company" or "ENGIE"), a supplier and distributor of natural gas and electricity supplier in Romania, to indirectly refinance the acquisition of 80MW Chirnogeni operational wind project ("Chirnogeni"), in accordance with ENGIE Group's Green Financing Framework.
Project Objectives
The EBRD financing is provided alongside a larger financing envelope, which together aim to finance ENGIE Romania decarbonisation plan, setting ambitious targets for reducing GHG emissions and investing in renewable energy with the ambition to reach 1GW capacity by 2030 in Romania. The EBRD financing will enable the sponsor to invest in ca. 250MW greenfield renewable capacity by year-end 2028.
Transition Impact
ETI score: 68
Transition impact stems from two qualities: "Inclusive" and "Green"
Inclusive: The Project will design and introduce an upskilling programme for young labour market entrants, as well as a new life-long learning initiative to upskill its existing employees on green skills.
Green: The successful refinancing of Chirnogeni acquisition will free up significant capital for the Company to further invest in greenfield wind and solar capacities that have a key role in the energy transition and the development needs of the energy sector in Romania and in line with Engie's decarbonisation ambitions.
Client Information
ENGIE ROMANIA SA
ENGIE Romania Group, a member of the French multinational group ENGIE SA, is one of the leading utilities company in Romania, with extensive activities in energy infrastructure, renewable energy, energy supply and energy services to B2B and B2C customers. Starting from 2013, in Romania ENGIE Group engaged in the production of electricity from renewable energy sources. ENGIE Romania Group currently has a renewable capacity of 122 MW in Romania and has ambitions to grow significantly in this sector.
EBRD Finance Summary
EUR 90,000,000.00
Total Project Cost
EUR 120,000,000.00
Additionality
The Bank is additional through:
- Advisory & Policy initiatives: the Bank will assist the Company to further improve and develop equal opportunity policies and practices for staff and management to increase awareness on gender equality and non-discrimination practices.
Environmental and Social Summary
Categorized B (ESP 2019). Provision of a green loan to a Romanian utility company to finance the acquisition of 80MW wind farm is associated with limited E&S risks that can be assessed as part of the Environmental and Social Due Diligence ("ESDD") and addressed through good management practice.
The ESDD for the current deal been undertaken by EBRD in-house and includes the review
