EBRD providing US$100m package to NEPCO to secure green power in Jordan
The European Bank for Reconstruction and Development (EBRD) has announced that it is providing Jordan’s National Electric Power Company (NEPCO) with a US$100 million financing package to help the firm address working capital constraints by replacing short-term debt financing borrowed at the first peak of the coronavirus (COVID-19) crisis in the spring with a longer-term facility. The proceeds will support NEPCO’s financial position.
With funding from the Swiss State Secretariat for Economic Affairs (SECO), the EBRD will also support NEPCO in an apprenticeship programme to promote career opportunities for women and young professionals, taking the opportunity of this pandemic-related support to build a more inclusive energy sector.
In 2014, Jordan embarked on a very ambitious renewable energy programme. By 2020, the country had exceeded its original renewable energy target of 10 percent of generated energy, with the figure now standing at 20 percent. Jordan is working towards a new goal of 30 percent by 2030.
NEPCO is the key actor in the energy sector as it owns and operates the electricity transmission system. The company has been at the heart of Jordan’s renewable energy transition, using private capital and skills to unlock the country’s wind and solar resources.
Since the start of its operations in Jordan in 2012, the EBRD has provided close to EUR 1.4 billion in 58 projects, including more than EUR 535 million in 14 loans to projects in the country’s energy sector.