OREANDA-NEWS. June 24, 2011. IFC, a member of the World Bank Group, and the European Bank for Reconstruction and Development (EBRD) are helping Georgia reduce its dependence on carbon-based electricity and increase its energy self-sufficiency by investing USD 115.5 million in the Paravani hydropower plant.

IFC and EBRD will provide Georgia Urban Energy, a subsidiary of Turkey’s Anadolu Endustri Holding, with USD 40.5 million and USD 52 million, respectively, syndicating a further USD 23 million with commercial banks. The 87-megawatt Parvani hydropower plant is the first investment and project financing by IFC and EBRD in the renewable energy sector in Georgia.

Hursit Zorlu, Chief Financial Officer of Anadolu Group, said that the Paravani project is expanding Anadolu’s renewable-energy generation capacity. “It will also benefit the Turkish electricity market to which Paravani hydropower plant will be able to export green energy,” he added.

Tupban Aksoy, Head of the Energy Group, Anadolu Group, said, “IFC and EBRD are playing a key role in funding the Anadolu Group's sustainable energy investments in Georgia. We hope that this strategic support will pave the way for other investors in the country’s renewable energy market."

The project will provide Georgia with electricity during the winter months, when the country is energy deficient, and export to Turkey in the summer, when Georgia has excess capacity.

“One of IFC’s key priorities is to address climate change through investments in sustainable energy,” said Gulrez Hoda, IFC Director for Infrastructure and Natural Resources in Europe, Middle East and North Africa. “Paravani is a groundbreaking project that supports Georgia’s efforts to increase renewable energy output, avoid carbon emissions, and achieve energy self-sufficiency.”