The agreement was signed by Niall Hannigan, Chief Financial Officer of Masdar, and Eric Scotto, Chief Executive Officer of Akuo Energy, in the presence of Mohamed Jameel Al Ramahi, Chief Executive Officer of Masdar, during Abu Dhabi Sustainability Week 2018.
Under the terms of the agreement, Masdar will acquire 49% of Krnovo Green Energy, a subsidiary of Akuo Energy and Montenegro-based LLC owning the now operational 72MW wind farm.
Montenegro is a renewable energy leader in Europe, with more than 40 per cent of its domestic electricity consumption coming from clean energy sources.
Built in one phase, the Krnovo project comprises 26 GE wind turbines. Project financing was secured from the European Bank for Reconstruction and Development (EBRD), KfW IPEX-Bank GmbH , and the French development financial institution Proparco.
On stream since November 2017, the Krnovo wind farm is now supplying approximately 45,000 households under a 12-year power purchase agreement with the state utility Crnogorski operator tržišta elektricne energije (COTEE). It is also displacing an estimated 80,000 tonnes of carbon emissions annually.
Krnovo is Masdar’s second wind farm in the Western Balkans. Abu Dhabi’s renewable energy company is a partner in the 158MW Cibuk 1 wind farm in Serbia which secured financing in October.
Masdar CEO Mohamed Jameel Al Ramahi said: “We’re excited to consolidate our presence in mainland Europe through Krnovo and to enter into a partnership with Akuo Energy, a proven renewable energy leader with a wide geographical reach. Commercial renewable energy solutions have a critical role to play in Montenegro’s energy future, and our two companies are eager to support the country’s transitions towards cleaner energy sources.”
Akuo Energy CEO and cofounder Eric Scotto said: “Krnovo is a first-class asset, the first of its kind in Montenegro, both in size and as a wind farm. We are delighted to welcome a partner like Masdar onboard such an asset. With regards to its achievements and strong ambitions, Masdar is a key player in renewable energy and has a global footprint. We would like to wholeheartedly thank all the teams for the quality of the work undertaken.”
