By Nigina Mirbabaeva
The European Bank for Reconstruction and Development (EBRD) is committing up to €100 million(US$109.6million) to Taaleri SolarWind III, a fund currently being raised by Taaleri Energia, a Finland-based fund manager. The investment is expected to enable the construction of 800 MW of new renewable energy capacity across the economies in which the EBRD invests.
Taaleri Energia is a longstanding client of the EBRD. The Bank has invested in its predecessor fund, Taaleri SolarWind II, and has directly supported and co-financed Taaleri-operated renewable energy projects in the EBRD regions.
Taaleri SolarWind III will make equity investments in utility-scale renewable energy projects – including onshore wind farms, photovoltaic solar parks and energy storage projects – across Europe and the United States of America. The Bank’s investment in the fund will be channelled exclusively to investments in greenfield renewable energy projects across the EBRD’s investee economies, including central Europe and the Baltic states, south-eastern Europe and the Western Balkans.
EBRD Director of Equity Funds, Anne Fossemalle,said: “It is our pleasure to continue to partner with Taaleri Energia to scale up renewables and accelerate the energy transition in the EBRD’s economies. This investment will bolster power generation and diversify funding sources for renewable energy assets.”
Renewable energy generation in the economies where the EBRD operates remains below the European average. Increased investment in projects that generate local, clean and affordable energy is needed to secure power supply and reduce a longstanding dependence on fossil fuels for electricity production. At the same time, investment in energy storage is required to help partially address the intermittent nature of wind and solar generation.
Taaleri SolarWind III’s investments will play a significant role in the energy security of those EBRD economies in which it invests and will contribute to climate change mitigation, delivering significant greenhouse gas emission reductions through the installation of greater renewable energy capacity.
The EBRD’s investment will also further the development of private-sector financing for renewable energy projects across the economies in which it operates, many of which have been overlooked by institutional investors, largely due to their nascent investment landscape and higher risk perception compared with Western Europe.
Taaleri Energia Managing Director, Kai Rintala said: “The EBRD is an anchor investor in both the Taaleri SolarWind II and Taaleri SolarWind III funds. These funds invest approximately 50 per cent of their capital in the Baltic states, Poland and south-eastern Europe. The EBRD, with local country offices and networks in all of these markets, and as one of the most experienced renewable energy debt and equity investors in the region, is a valued partner.”
