Bulgaria receives green energy boosters and heads towards renewables

To boost the country’s renewable energy sector, the European Bank for Reconstruction and Development (EBRD) has committed new funds to the 156 MW Saint Nikola wind farm located in the Kavarna region of northeast Bulgaria.

The wind farm is majority-owned by AES Bulgaria, a unit of U.S.-based energy conglomerate AES Corporation. The Bank had supported the construction of the largest wind project in 2008 with a €119 million loan. The new €32 million financing package, will refinance the remaining exposure on that loan and extend a new commitment of €16 million.




Earlier in December, the new Bulgarian Government announced Immediate and long-term energy goals, which include:

– Adoption of a new Sustainable Energy Development Strategy with compatibility analysis and Environmental Impact Assessment (EIA) and other national strategies

– Study and assessment of Bulgaria’s overall hydropower potential; research on the energy potential of the Black Sea; complete mapping of the country’s geothermal resources

– Changes to the legislation

– Focus on strategic investments (incl. support for renewable energy producers)

– Making energy efficiency a national priority.

The positive signals on the Bulgarian green energy transition continued to flow in November-December 2021:

– Danish developer Eurowind Energy has formed a joint venture with Bulgarian investment group Renalfa aimed at the renewable energy market in Bulgaria. The construction of the first project (200+ MW Tenevo SPP) is expected to start in the first quarter of 2023.

– Germany-based renewable energy company AE Solar will invest €150 million in the construction of a factory for solar panels near the Bulgarian city of Plovdiv in 2022. The investor plans production of 1 GW of solar panel capacity per year at the factory, starting in 2022.

– Switzerland-based energy company MET Group has completed the acquisition of a 100% stake in a 60 MW wind park in Bulgaria from the Spanish Grupo Enhol. With this acquisition, MET brings its wind power operating portfolio in Bulgaria to 102 MW.