AEI PL Solar Construction Bridge Financing
A construction bridge loan of up to EUR 22.5 million to PL-SUN Sp.z.o.o. (the "Borrower" or the "Company"), a holding company incorporated in Poland. The loan will be dedicated for the construction and operation of 114.5MW solar portfolio in Poland (the "Project"). The Project consists of 16 solar PV plants owned through 8 special purpose vehicles under the Company.
Project ObjectivesThe Project will contribute to climate mitigation by adding 114.5MW solar generation capacity to the Polish national energy system.
Transition ImpactETI score: 60
The Project targets the "Green" Transition Impact quality by supporting the construction of solar farms with a total installed capacity of 114.5MW. This capacity is expected to generate 118 GWh contributing to CO2 savings of 85,000 tonnes annually.
Client InformationPL-SUN SP ZOO
PL-SUN Sp.z.o.o., a holding company owned by UAB Atsinaujinaniios Energetikos Investicijos ("AEI"), a closed-end fund incorporated in Lithuania with a focus on renewables generation development, and established in Poland to own 8 special purpose vehicles for the purpose of development, construction and operations of a portfolio of 16 solar PV power plants. AEI is managed by Lord LB Asset Management, a Lithuanian investment management company.
EBRD Finance SummaryEUR 22,500,000.00
Total Project CostEUR 45,000,000.00
AdditionalityEBRD offers an innovative financing structure on commercial terms not available from other banks. The Project has the potential to unlock flows of institutional capital into the renewables sector in Poland by demonstrating to the market the bankability of a construction bridge loan, a new and innovative financing structure rarely seen in the Bank's region.
Environmental and Social SummaryCategorised B (2019 ESP) and High-Medium risk due to potential labour risks in the supply chain. The Project consists of construction and operation of 16 solar PV power plants with a total installed capacity of 114.5 MW across Poland. Environmental and social (E&S) impacts associated with the construction and operation of the solar power plants are anticipated to be site-specific and/or readily identified and addressed through effective mitigation measures.
Key E&S impacts/risks include: supply chain risks associated with solar components, land acquisition and potential economic displacement, labour and OHS risks during the construction phase, and stakeholder engagement. According to the Technical Due Diligence Report, there is no obligation to prepare the Environmental Impact Assessment (EIA) Reports, therefore Environmental Decisions have been already issued without the EIA procedures for each solar power plant in line with the national legislation. Labour risks associated with the supply chain of solar components will be addressed in accordance with the Management Approach for Solar Supply Chain Risk Management (CS/FO/21-35) approved by the Board. E&S due diligence (ESDD) is anticipated to be undertaken by an independent E&S consultant. The ESDD will include a review of client's E&S management systems and institutional capacity to implement the Bank's Performance Requirements. Based on the ESDD, an NTS, SEP and ESAP will be developed and agreed for the Project with the client.
Company Contact InformationGrete Bukauskaite
[email protected]
+370 5 261 94 70
https://lordslb.lt/en/fund/uab-atsinaujinancios-energetikos-investicijos/
Jogailos str. 4, LT-01116 Vilnius, Lithuania
11 Aug 2023
Understanding TransitionFurther information regarding the EBRD’s approach to measuring transition impact is available here.
Business opportunitiesFor business opportunities or procurement, contact the client company.
For business opportunities with EBRD (not related to procurement) contact:
Tel: +44 20 7338 7168
Email: [email protected]
Specific enquiries can be made using the EBRD Enquiries form.
Environmental and Social Policy (ESP)The ESP and the associated Performance Requirements (PRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”. The ESP and the PRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation as well as to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about environmental and social performance of the client and the project. Proportionate to the nature and scale of a project’s environmental and social risks and impacts, the EBRD additionally requires its clients to disclose information, as appropriate, about the risks and impacts arising from projects or to undertake meaningful consultation with stakeholders and consider and respond to their feedback.
More information on the EBRD’s practices in this regard is set out in the ESP.
Integrity and ComplianceThe EBRD's Office of the Chief Compliance Officer (OCCO) promotes good governance and ensures that the highest standards of integrity are applied to all activities of the Bank in accordance with international best practice. Integrity due diligence is conducted on all Bank clients to ensure that projects do not present unacceptable integrity or reputational risks to the Bank. The Bank believes that identifying and resolving issues at the project assessment approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts, and also helps to monitor integrity risks in projects post-investment.
OCCO is also responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, both within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to [email protected]. All matters reported will be handled by OCCO for follow-up. All reports, including anonymous ones, will be reviewed. Reports can be made in any language of the Bank or of the Bank's countries of operation. The information provided must be made in good faith.
Access to Information Policy (AIP)The AIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations following its entry into force on 1 January 2020. Please visit the Access to Information Policy page to find out what information is available from the EBRD website.
Specific requests for information can be made using the EBRD Enquiries form.
Independent Project Accountability Mechanism (IPAM)If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (e.g. through the Client’s Project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).
IPAM independently reviews Project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the Mechanism is: to support dialogue between Project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or Project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.
Please visit the Independent Project Accountability Mechanism webpage to find out more about IPAM and its mandate; how to submit a Request for review; or contact IPAM via email [email protected] to get guidance and more information on IPAM and how to submit a request.
