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Swedfund invests in transition towards renewable energy

News   •   Jul 01, 2019 06:53 UTC

Photo cred: Scatec Solar

Sweden’s development finance institution, Swedfund is focused on supporting the transition away from fossil fuels and towards renewable energy. Swedfund has signed a loan agreement for 10 million euros to be part of the financing together with European Bank for Reconstruction and Development, Nordic Environment Finance Corporation and Scatec Solar ASA to construct and operate a 55.4 MWp solar power plant located in Central Ukraine.

"Swedfund investments are aligned with the Sustainable Development Goals. Through our focus sector Climate & Energy and with climate as one of our thematic areas we work to support the realization of SDG 7, Affordable and clean energy. We focus on renewable energy since access to sustainable energy is a prerequisite for economic development and poverty reduction. We are pleased to support the transition to renewable energy alongside a group of strong partners", says CEO Maria Håkansson.

Building out the world’s renewable energy capacity is key to meeting the energy targets underpinning Agenda 2030 and as exemplified by SDG 7. Ukraine is today heavily dependent of fossil fuels and nuclear for its energy generation but has a strategy to increase its renewable energy capacity, which today only accounts for a small percentage of total energy production.

Scatec Solar - a developer, owner and operator of renewable projects in emerging markets and listed on the Oslo stock exchange - is developing its fourth solar project in Ukraine. The plant is expected to be in commercial operation during the first half of 2020 and will annually generate renewable energy equivalent to the average consumption of 28,000 households and contribute to avoiding about 36,000 tonnes of CO2 emissions.