Uzbekistan Finalizes $225 Million Masdar Solar Financing
Masdar, the United Arab Emirates’ state-owned renewable energy company, has reached financial close on a $225 million financing package for a solar power and battery storage project in southern Uzbekistan, the company announced on Jan. 15 on the sidelines of Abu Dhabi Sustainability Week.
The financing supports the construction of the 300-megawatt Guzar solar power plant and a 75-megawatt-hour battery energy storage system in the Kashkadarya Region. Senior government officials from both countries attended the signing ceremony, highlighting the strategic importance of the project for Uzbekistan’s energy transition.
According to Masdar, the European Bank for Reconstruction and Development (EBRD) will provide up to $195.5 million, including funds from Canada and Finland under the High Impact Partnership on Climate Action, as well as resources from the Japan–EBRD Cooperation Fund. The Asian Development Bank is contributing $30 million, supported by the LEAP 2 program and the Canadian Climate and Nature Fund for the Private Sector in Asia. Abu Dhabi Commercial Bank acted as the hedging provider.
Masdar Chief Executive Officer Mohamed Jameel Al Ramahi said the agreement reflects the strength of the company’s partnership with Uzbekistan, where Masdar has operated since 2021. He noted that the country’s strong wind and solar potential, combined with a supportive regulatory framework, positions it as a key growth market as Masdar targets 100 gigawatts of global capacity by 2030. The project will be implemented under a public-private partnership with Uzbekistan’s national grid operator. Once operational, it is expected to avoid more than 400,000 tons of carbon dioxide emissions annually and generate enough electricity to supply the equivalent of 60,000 households, supporting Uzbekistan’s goal of sourcing 54% of its electricity from renewable energy by 2030. Masdar’s cumulative investment in Uzbekistan has now exceeded $2 billion. Its portfolio includes the country’s first utility-scale solar plant, the 100-megawatt Nur Navoi project, as well as a recently signed agreement to develop Uzbekistan’s largest standalone battery storage facility with a capacity of 300 megawatts and 600 megawatt-hours in the Navoi Region.
Uzbekistan remains central to Masdar’s expansion in Central Asia, while the company is also advancing major projects in Kazakhstan, including a large-scale wind power plant in the Zhambyl Region and a round-the-clock clean energy project supported by energy storage systems.
Photo credit: Masdar
