PROJECT

Projects

Environmental & Social Review Summary

Project Number

31543

Company Name

ACWA POWER CF KARAD PV PARK EAD

Date ESRS Disclosed

Jan 20, 2012

Country

Bulgaria

Region

Europe

Last Updated Date

Jun 12, 2021

Environmental Category

B - Limited

Status

Completed

Previous Events

Approved : Mar 8, 2012
Signed : Mar 9, 2012
Invested : Mar 28, 2012

Sector

Solar - Renewable Energy Generation

Industry

Infrastructure

Department

Regional Industry INF LAC & EUR

Project Description

The project involves the development, construction, operation and maintenance of a 60.4 MWp (50MW-AC effective) solar photovoltaic power plant at Karadzhalovo in the municipality of Parvomay, Plovdiv District, Bulgaria (“Karadzhalovo SPP” or the “Project”). The Project is owned by ZBE Partners EOOD (the “Company”), a special purpose vehicle that is ultimately 100% owned by SunEdison LLC, a leading global developer, EPC contractor and operator of utility scale, commercial and small size solar power systems. All of the output generated by the Project will be sold to the national electricity company, Natsionalna Elektricheska Kompania EAD (NEK), a 100% subsidiary of the Ministry of Energy Economy and Tourism under a 20-year PPA. IFC investment would be an IFC A Loan of €45 million and an IFC B Loan of up to €45 million which will be participated by UniCredit Bank Austria AG.

The Project will have 42 photovoltaic blocks of variable capacity, and each block consists of a number of photovoltaic modules (solar sub-arrays) grouped in strings and connected to an AC/DC inverter transformer station. Photovoltaic modules will be crystalline silicon (c-Si) based modules. The modules will be made up of a number of solar cells, with cell types either mono-crystalline or polycrystalline, both suitable and proven for large photovoltaic power plants. The 42 inverter stations will be connected through an internal 20kV underground network in a ring configuration which leads to a new 20/110kV substation to be built within the project site. The generated power will be transferred through a 7.5km 110kV underground transmission line (to be built as part of the Project) to NEK’s existing Borisovgrad substation

The Project site is a 100 hectare land, formerly owned by the Parvomay Municipality and used for agricultural purposes in the past. The agricultural status of the project site was re-zoned under the Municipality’s Master Plan and the land was converted to industrial use in 2006. Through a public tender procedure initiated by the Parvomay Municipality, this land was transferred to INTERZONA Ltd. Plovdiv. In September 2011, the land was sold to the Company for the Project. The site is about 160 km southeast from the capital city Sofia, or about 9km east from the town center of Parvomay. The site is flat and easily accessible from Karadzhalovo Village. There is a railway passing adjacent to the site border (southside), but sufficient distance is kept to avoid any possible shading influence on the solar modules. The closest residence is about 500 m south from the project site. The construction of the Project started in September 2011 and is expected to finish by the spring of 2012.

Overview of IFC's Scope of Review

Documents reviewed:
- Report for Ecological Assessment, Detailed Development Plan for Change of Permanent Use of Regulated Land Plot I to Regulated Land Plot XXVII, Quarter 119 (Property #000119, According to the Map of Restored Ownership) in Karadzhalovo Village, Municipality of Parvomay, Plovdiv District with the Objective of Constructing a Photovoltaic Power Plant with Capacity of up to 50MW”, Investor: INTERZONA Ltd. Plovdiv, Contractor: General partnership Hidroecostroy – Grozev and Partners, Plovdiv, March 2011
- Report for Assessment of the Degree of Impact on Protected Zone “Maritsa Parvomay” by “Detailed Development Plan for Change of Permanent Use of Regulated Land Plot I to Regulated Land Plot XXVII, Quarter 119 (Property #000119, According to the Map of Restored Ownership) in Karadzhalovo Village, Municipality of Parvomay, Plovdiv District with the Objective of Constructing a Photovoltaic Power Plant with Capacity of up to 50MW.”, Investor: INTERZONA Ltd. Plovdiv, February 2011
- Ecological Assessment Statement issued by RIEW on May 4, 2011
- SunEdison’s environmental and social due diligence documents for the Karadzhalovo Photovoltaic Power Project
- SunEdison’s corporate environmental and social management system information (obtained from IFC’s earlier, related investment in SunEdison -- #28053)

Site visits: Visits to the project site, access road, connecting transmission line route, conducted by IFC staff in November 2011

Meetings and Discussions in November 2011:
- SunEdison’s project team officers in charge of environmental and social assessment and management, including energy and environmental lawyers from Wolf Theiss law firm in Bulgaria (who conducted environmental legal due diligence at the request of SunEdison)
- Karadzhalovo Photovoltaic Power Station construction management team officers (SunEdison, Sienit, ABB)
- Municipality of Parvomay officials (including the Mayor and an officer in charge of land zoning)
- Sienit Holding, the main EPC subcontractor and an affiliate of Interzona Ltd. Plovdiv, which initially handled environmental assessment and community engagement
- Bulgarian Photovoltaic Association’s representatives
- Regional Inspectorate of Environment and Water – Plovdiv (RIEW Plovdiv)
- An environmental organization (Green Balkans)
- Lender’s technical advisor (Fichtner GmbH + Co KG)

E & S Project Categorization and Applicable Standard

Environmental and Social Mitigation Measures

Stakeholder Engagement

Client Documentation

File Name Actions
Protected Zone Impact Assessment-Bulgarian.pdf
Protected Zone Impact Assesment-English.pdf
Ecological Assessment-English.pdf
Ecological Assessment-Bulgarian.pdf