The German development bank KfW has approved a €55 million loan to North Macedonia’s state-owned power utility, ESM, to finance the construction of the Bitola 2 solar power plant and the expansion of the Bogdanci wind farm.
According to a statement from the North Macedonian Ministry of Finance, the state-backed loan has a 15-year term, which includes a five-year grace period. The Bitola 2 solar power plant, with a minimum capacity of 50 MW, will be constructed on reclaimed land near the TPP Bitola. It is expected to generate between 80 and 90 GWh of electricity annually, enough to power over 20,000 households. The total investment in this project is estimated at €47.3 million.
The expansion of the Bogdanci wind farm will increase its total capacity from 36.8 MW to 50 MW. This wind farm has been operational since July 2015.
In addition to this loan, earlier this week, ESM also announced a €5 million EU grant from the European Bank for Reconstruction and Development (EBRD) for the construction of two new solar power plants, with a combined capacity of 30 MW.
