The Green for Growth Fund (GGF) has provided a €28 million loan to SPV Blue 1 in Albania to finance the largest unsubsidized solar project in the Western Balkans. This project represents a milestone in the history of energy production in Albania, where there is a lack of investment in renewable energy.
Financing for the construction of a 50 MW solar power plant
GGF funding will cover up to 75% of the construction and operating costs of a 50 MW solar power plant in Fier County, Topoje, Albania. This project, which brings together a range of knowledge and institutional resources, has significant potential to create long-term impact for Albania, as the country has abundant but untapped solar resources.
A project that respects the environment and international best practices
The project was also supported by the GGF’s Technical Assistance Facility, which helped increase the impact generated by the investment while ensuring that the project was developed in accordance with international best practices from an environmental, social, and technical perspective. It will diversify the energy mix and reduce dependence on hydropower, thereby improving the stability and resilience of the energy system, providing a more secure source of electricity for Albanians.
A significant environmental impact
The project will contribute significantly to Albania’s efforts to reduce CO2 emissions by 11.5% by 2030 compared to 2016 levels. Projections indicate that the project will reduce approximately 1,900 tCO2 of emissions per year and generate over 108,000 MWh of clean energy per year. This positive environmental impact is in line with GGF’s mission to promote renewable energy and fight climate change.
Partners satisfied with the investment
Christopher Knowles, president of the GGF, emphasized that the investment in this solar project in Albania is a demonstration of their commitment to accelerate the transition to renewable energy sources and to reduce dependence on fossil fuels. Besnik Leskaj, president of Blessed Investment sh.p.k, praised the collaboration and sharing of technical knowledge that has resulted in an exemplary project for the region.
