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New Energy World™ embraces the whole energy industry as it connects and converges to address the decarbonisation challenge. It covers progress being made across the industry, from the dynamics under way to reduce emissions in oil and gas, through improvements to the efficiency of energy conversion and use, to cutting-edge initiatives in renewable and low-carbon technologies.
Repowering Africa’s oldest wind farm
27/7/2022
News
The European Bank for Reconstruction and Development (EBRD) is supporting Morocco in its transition to a low carbon economy by co-financing the repowering of the Koudia Al Baida wind farm in the north of the country.
The EBRD is providing a senior loan* of up to €44mn to the Koudia Al Baida Energy Company, a special purpose vehicle (SPV) owned by the Moroccan Agency for Sustainable Energy (MASEN) and EDF Renewables. This is part of a senior debt provided by a group of international and Moroccan banks, including Société Générale, Attijariwafa Bank, Banque Centrale Populaire and Bank of Africa.
EBRD will also provide a €5mn loan, while the Climate Investment Funds’ (CIF) Climate Technology Fund will provide a €4.5mn loan to MASEN to finance its equity contribution to the project SPV.
The funds will be used to repower the existing 50 MW Koudia Al Baida wind farm located in the Tlat Taghramt region near Tangier and increase its capacity to 100 MW.
Koudia Al Baida is the oldest utility-scale wind farm in Africa and Morocco’s first renewable independent power producer (IPP). It will also be the first wind-repowering project in Africa and for the EBRD.
The renewable energy generated by the new farm will lead to CO2 emission reductions in the region of 300,000 t/y, reports the EBRD.
* A senior loan takes priority over other unsecured or more junior loans. It has a priority repayment status in case of bankruptcy and typically carries lower interest rates and lower risk.
