New windmills in Bogdanci investment of 21 million euros

New windmills in Bogdanci investment of 21 million euros

With an investment of 21 million euros will be rounded the project Wind Park Bogdanci. In the second phase will be built six more wind turbines with installed capacity of 13.8 Megawatt, and will start with production of up to 24 months. The funds for this project are provided by the German KfW Bank in amount of 18 million euros, while three million are own funds of JSC ELEM. Contracts for the loan and the guarantee were signed today by the Minister of Finance Dragan Tevdovski, General Director of JSC ELEM Dragan Minovski, German Ambassador in Macedonia Thomas Gerberih Director of KfW bank for SEE and Turkey Christophe Tiskens. By signing this agreement, the second phase of the project Wind Park “Bogdanci” has been accomplished, with what is expected to increase the participation of the share of renewable energy sources.

According to Minster Finance, the funds from the KfW bank are provided with more favorable terms than expected

The loan will be assigned to JSC ELEM with a repayment period of 12 years, with included a grace period of three years, and interest rate of 1.15 percent, and the loan servicing will be done by JSC ELEM from the income generated, and it is guaranteed by the state, said Tevdovski in the moment of the contract signing.

According Minovski, the signing of this agreement is of great importance for the company

We would like to express our gratitude for the cooperation towards “KfW” Bank and the Government, the Ministry of Finance and the Assembly of the Republic of Macedonia, as institutions that were involved in the legal processes that were necessary to realize this financial agreement, which for us means a lot during the way of the realization of our plans and investments in the field of energy, especially in the field of renewable energy sources. With this agreement it is being paved the way to the fully completion of the project Wind Park – power plant – Bogdanci, which for us, but also for Republic of Macedonia, is important for several reasons. It has been increasing the installed capacity of JSC ELEM for additional 13,8 MW and annual production of additional 37 GWh, enough to supply electricity to about 6,000 households, said Minovski.

It is finishing the Project Wind Park – power plant Bogdanci, for the projected installed capacity of 50 MW and a total annual production of about 137 GWh. With the construction it will be increase the share of renewable sources in electricity production from JSC ELEM by around 3% and reduce emissions CO2 from approximately 35.000 t / year.

-I want to emphasize that JSC ELEM remains dedicated to the commitment of increasing the share of electricity produced from renewable sources. In that direction it is another investment that we currently are working on, and that’s photovoltaic power plant that will be built in place on the used mine TPP Oslomej – said Minovski.

The German ambassador said that this is the perfect moment for signing and indicated that it will be continued the support from Germany. He added that in order to be achieved the objectives of the reform of the political, economic and social bases must be established, and international ground floor will create opportunities and incentives for Macedonia.

The director of the KfW Bank for SEE and Turkey Christophe Tiskens noted that this agreement is a continuation of long-standing cooperation with Macedonia.

In 20 years from 1999 in Macedonia we have invested 20 million euros in projects mainly in the field of environmental protection and climate changes, including projects for the rehabilitation of six power plants, construction of the first wind park, said Tiskens adding that the realization the second phase of this project is an important step for the citizens of Macedonia since it provides a cleaner environment and lower emissions of carbon dioxide and leads to diversification of energy sources.

In Bogdanci wind park in the first phase are invested 55 million euros of which 85 percent are from loans and 15 percent of the company’s assets.