| Project Detail |
Location:
Kazakhstan
Project number:
52821
Business sector:
Energy
Notice type:
State
Environmental category:
A
Approval date:
16 Nov 2022
Status:
Concept Reviewed
PSD disclosed:
15 Jul 2022
Project Description
A provision of senior loan of up to EUR 252 million in KZT equivalent to JSC "Almaty Power Plants" (the "Company" or "APP") for comprehensive modernisation of the existing Combined Heat and Power Plant 2 ("CHP-2"), with full replacement of coal by natural gas as a primary fuel in order to reduce CO2 emissions and improve air quality in the Almaty city (the "Project"). The Almaty CHP-2 is the biggest source of heating in the largest city of Kazakhstan.
The Project is a part of the Green Cities Program of EBRD in Almaty. The primary aim of the Project is to reduce CO2 emissions in the city by c. 3 million tons (down c. 56%) and fully avoid air emissions of particulate matter and NOx. The latter is particularly important given Almatys statistics on pollution-related diseases - according to studies conducted by Kazakh National Medical University named after Asfendiyarov, 24% of adults and 57% of children in Almaty suffer from chronic pulmonary diseases (2013-2017 statistics), significantly above country averages and 2-3 times higher than in comparable urban areas of CIS.
The Project will be implemented under the EPC Contract, with contractor to be selected following EBRD PP&R for public sector operations. The compliance of proposed technical design with Best Available Technologies (BAT) is an explicit condition in tender documentation.
Project Objectives
The EBRD loan will finance brownfield deep modernisation of 510 MW Combined Heat and Power Plant-2 in Almaty with conversion from coal to gas. The Project will have a significant immediate impact on air quality in Almaty. After modernisation, the Plant will be able to provide certain balancing capacity to the national grid and will facilitate faster implementation of renewable energy projects and back up development of renewable heating solutions, in line with Low Carbon Pathway for energy and heating sector. In addition to environmental impact, the Project will provide support for improved institutional-level capacity on gender and youth inclusion. |
