BAKU, Azerbaijan, April 20. The European Bank
for Reconstruction and Development (EBRD) is strengthening
Hungary’s energy security through a €70 million loan to special
purpose vehicles owned by Renalfa IPP, an independent power
producer operating across Central and Eastern Europe, Trend reports via the
Bank.
The financing forms part of a broader €210 million package
arranged together with commercial banks and will support the
development, construction and operation of a 450 MW solar
photovoltaic (PV) portfolio. The project also includes 250 MW/1 GWh
of co-located battery energy storage systems (BESS) in northeastern
Hungary.
This transaction marks one of the first project-financed
utility-scale hybrid renewable energy assets in Central and Eastern
Europe. It is also among the largest renewable energy developments
in Hungary to date.
Once completed, the project is expected to generate
approximately 448 GWh of clean electricity annually. This output
will contribute to Hungary’s national target of achieving 30%
renewable energy in gross final consumption by 2030.
Notably, the electricity generated by the solar parks will be
sold directly on the Hungarian market without reliance on subsidies
or corporate power purchase agreements. This approach is seen as a
strong signal of confidence in the long-term viability of
market-based renewable energy investments in the country.
The integration of large-scale battery storage with solar
generation is expected to help mitigate intermittency challenges,
improve grid flexibility and strengthen energy security in a market
increasingly exposed to volatility.
Renalfa IPP is a joint venture between Renalfa Solarpro Group
and French infrastructure fund manager RGREEN INVEST, and has
established itself as an active independent power producer across
the region.
Since beginning operations in Hungary, the EBRD has invested
more than €3.7 billion across 220 projects in the country,
underscoring its long-term role in supporting economic development
and green transition efforts.
