The European Bank for Reconstruction and Development (EBRD) is teaming up with a Georgian state-owned shareholding company Partnership Fund (PF) to provide a support in the Nenskra Hydro Power Plant (HPP) project earmarked for the upper Svaneti region. EBRD President Sir Suma Chakrabarti announced this news today at the EBRD 24th Annual Meeting in Tbilisi.
EBRD is ready to take part in funding the Nenskra HPP, which costs about $1 billion USD in total. “Hydropower sector is one of the priorities for us. We took the decision to fund the Nenskra HPP project,” said Chakrabarti.
EBRD will allocate about $200 million USD for Nenksra HPP project. Last year Korean company K Water and PF representatives signed an agreement to launch the development and the construction works at the 280 megawatt power station.
PF Executive Director Irakli Kovzanadze believed the electricity generated by the Nenskra HPP would be distributed on the local market. In autumn and winter seasons the HPP would support the local energy market to replace the import.
Nenskra HPP will be constructed on the Nenskra river in Upper Svaneti, a mountain region of Georgia. The HPP is expected to produce 1.2 billion kilowatts of electricity per hour annually. The project is planned to be completed by 2019. “We have been actively working with K Water to assure EBRD to involve in this project. I am glad that EBRD made a very positive decision for us.
Besides, Asian Development Bank and Export-Import Bank of Korea will finance the project,” said Kovzanadze. A global development institution International Finance Corporation (IFC), which is a member of the World Bank Group, has been assisting PF in creating the investment project of the Nenskra Hydro Power Plant.