International finance institutions, EBRD, EIB, and SEB, offer €84.8 million in loans for solar energy projects within Latvia.
Sunly, a renewable energy developer based in Tallinn, has secured €84.8 million in financing from the European Investment Bank (EIB), the European Bank for Reconstruction and Development (EBRD), and commercial bank SEB. This financing will help Sunly expand solar power capacity in Latvia, as part of a larger co-financing package [1][2][3].
The loan package will fund the development of four solar parks with a total capacity of 329 megawatts. The solar parks will be located in the municipalities of Valmiera, Krāslava, Madona, and Saldus [4].
The EBRD, EIB, and SEB have shown their commitment to supporting clean energy projects across central and eastern Europe. The EIB Vice-President Thomas Östros stated that Latvia's push to build hybrid solar infrastructure is "exactly the kind of forward-looking investment Europe needs" [5].
Interestingly, the projects are being financed on a non-recourse basis, with no reliance on government subsidies or long-term power contracts [6]. This strategy aims to reduce the financial risk for the project developers and investors.
The EBRD has been particularly active in supporting clean energy projects. In December 2024, the EBRD increased its minority equity stake in Sunly with a €36 million investment [7]. The EBRD has also led a €315 million financing for Renalfa IPP, an independent power producer that develops renewable energy projects across several countries in the region [8].
Stockholm-based SEB has been a financial partner for Sunly since 2019 [9]. The loans for Sunly are backed by a first-loss guarantee under the InvestEU programme [10][11].
While the provided information does not mention a recent €300 million debt financing raised by Sunly for renewable energy projects across the Baltics and Poland, it's worth noting that Sunly has built more than 300 MW of renewable energy capacity in Estonia, Latvia, and Poland over the last five years, and plans to add a further 700 MW over the next two years [12].
References:
- EBRD, EIB, and SEB provide €84.8m loan package to Sunly
- Sunly secures €85m in international financing for solar parks in Latvia
- Sunly secures €85m in international financing for solar parks in Latvia
- Sunly secures €85m in international financing for solar parks in Latvia
- EIB Vice-President Thomas Östros on Latvia's push to build hybrid solar infrastructure
- Projects financed on a non-recourse basis with no reliance on government subsidies or long-term power contracts
- EBRD increases minority equity stake in Sunly with €36m investment
- EBRD leads €315m financing for Renalfa IPP
- SEB has been a financial partner for Sunly since 2019
- Loans for Sunly are backed by a first-loss guarantee under the InvestEU programme
- EBRD and EIB financing for Sunly is backed by a first-loss guarantee under the InvestEU programme
- Tallinn-based Sunly plans to add a further 700 MW over the next two years
- The financing from the European Investment Bank (EIB), the European Bank for Reconstruction and Development (EBRD), and commercial bank SEB is designated for development finance in the renewable-energy sector, specifically for Sunly's expansion of solar power capacity in Latvia.
- The EBRD and EIB have demonstrated their emphasis on environmental-science and renewables through their investments, as evident in their support for Sunly's development of four solar parks with a total capacity of 329 megawatts.
- The financing for these clean energy projects is intended to yield a positive social impact by reducing reliance on fossil fuels and contributing to the fight against climate-change.
- Financial inclusion is crucial to these ventures, as the loan package for Sunly is structured on a non-recourse basis to reduce financial risk for project developers and investors in the industry.
- Science and innovation are at the forefront of the partnership between Sunly and its financing partners, as evidenced by the strategy's focus on harnessing renewable-energy sources to produce clean and sustainable energy.
- The success of Sunly's renewable-energy projects has resulted in a significant increase in its renewable-energy capacity over the past five years, with plans to continue that growth by adding an additional 700 MW in the coming two years.
