Balkan countries have made significant investments in their energy transition plans. As a result, Bracewell partner Ro Lazarovitch tells ICIS, they could attract significant renewable energy investments from local and foreign investors.
“The Balkan countries have put in a lot of work in recent years to become attractive destinations for renewable energy investments, including updating their regulatory regimes, developing the electricity trading markets, investing [in] interconnectors and providing incentives for developers,” said Lazarovitch.
« We see many developers in the Balkans region looking to the corporate power purchase agreements (PPA) market. These arrangements provide more certainty around pricing and help in securing project financing, » Lazarovitch added.
Balkan countries could fund their energy transition plans through bank finance, project finance or green bonds.
« Project finance remains a good option for developing renewable projects and there are a few financial institutions out there providing innovative financing solutions for the Balkans market. With inflation and interest rates stabilising, 2024 should see its share of project financing in this space, » Lazarovitch concluded.