UK Export Finance (UKEF) and KUKE, the UK and Polish export
credit agencies, have guaranteed a €249 million loan being
arranged by Standard Chartered Bank for Turkish renewable energy
investment company Kalyon Enerji, enabling the construction of
Turkey's second-largest solar project to date. This deal is
expected to support UK jobs in the renewable-energy sector supply
chain, particularly in the Midlands.
The 390MWp project entails the construction and operation of
solar power plants at seven separate sites, with aggregate power
generating capacity of 390 MWp across the provinces of Bor-Nigde,
Gaziantep and Sanliurfa-Viransehir. Upon completion, the project
could generate enough renewable electricity to power over 65,000
households in Turkey annually.
British exporter GE Vernova – via its subsidiary UK Grid
Solutions Ltd – will supply and install inverter stations,
power-plant controllers and other critical equipment. This is
expected to directly support British jobs at GE Vernova's
Staffordshire site, as well as jobs in the wider UK supply chain.
Polish exporters will deliver security systems (including both
software and equipment) and steel components for the project.
This is set to create jobs in manufacturing and logistics
sectors.
Standard Chartered acted as Structuring Bank, Green Loan
Coordinator, Lead Arranger and Lender. The financing is
guaranteed by a 100% UKEF guarantee, with over €122 million
reinsured by KUKE, Poland's export credit agency.
Renewable
energy represents 54% of the total installed electricity capacity
in Turkey. This new project will increase the availability of
renewable energy in Turkey and deliver on UKEF's commitment to
supporting the global transition towards low-carbon economies.
, UK Minister for Exports,
said:
Our mission is to grow the economy, including through boosting
exports so British businesses can sell their world-class goods
and services around the world. This announcement will support
jobs and businesses across the country, especially in the
Midlands, and support the global transition toward cleaner
energy. It also demonstrates how UK Export Finance can help
businesses grow, export and boost economic growth.
Piotr Maciaszek, Director of Insurance and International
Relations Department, KUKE, said:
This contract in the green technology sector proves that Polish
companies have broad competences and can provide products and
services of the highest quality. Thanks to the support of KUKE,
Polish entities are more often involved in the implementation of
infrastructure projects in Africa, the Middle East and Asia. We
hope to announce further transactions this year with significant
involvement from Polish businesses, meeting large investment
needs around the world whilst improving many people's quality of
life.
Uday Mathur, Global Leader, Capital Markets GE Vernova,
said:
We have a long-term, successful partnership with UK Export
Finance in Türkiye, enabling GE Vernova to continue offering
clients competitive financing solutions for solar and storage
technology. GE Vernova has helped deliver approximately 2.8 GW of
solar capacity in Türkiye with an extended equipment scope and a
services package. We are proud to have delivered yet another
landmark financing in Türkiye through successful collaboration
with Kalyon Enerji and UK Export Finance.
Yoshi Ichikawa, Head of Structured Export Finance for
Europe, Standard Chartered, said:
Through this important multi-site solar project in Türkiye, we
were able to showcase our expertise to structure this Green Loan
financing supported by UKEF and KUKE and contribute to our
strategic priorities to help accelerate our clients' transition
to net zero. With our unique expertise in sustainable finance and
a track record in financing renewable projects, we are proud to
help shape the future of communities in our footprint.
Dr. Murtaza Ata, CEO of Kalyon Enerji, added:
We are proud to be a driving force behind Türkiye's transition to
clean energy. In 2023, we became fully operational in Kalyon
Enerji's Karapınar Solar Power Plant, which is the largest solar
power plant in Türkiye and Europe, contributing 11% of the solar
power generated in Türkiye. This is Kalyon Enerji's second
transaction with UKEF and GE Vernova, for the second largest
solar project in Türkiye to date. Thanks to our business partners
for their support, by investing in renewable energy projects,
we're not only providing sustainable energy solutions, but also
creating jobs and contributing to Türkiye's energy independence
using renewable energy sources.
Notes to Editors
-
The €249 million financing for Kalyon' Enerji's project will
be structured and raised through Standard Chartered Bank
acting as lead arranger and lender.
-
The financing is guaranteed by a 100% UKEF guarantee, with
over €122 million reinsured by KUKE.
-
This is separate to UKEF's previous
financing in 2021 for Kalyon Enerji's Karapınar
solar project – the largest solar project in Turkey and
Europe.
-
This latest financing follows other transactions Standard
Chartered, UKEF and KUKE have recently delivered in Turkey,
including the two ECAs supporting a €1.027 billion loan
facility raised in 2023 to support a new electric
railway between Yerköy and Kayseri, and Standard Chartered
providing €2.4 billion for the Turkish Ministry of Treasury
and Finance to fund the delivery of the Ankara-Izmir high
speed railway project.
