The National Bank of Greece has signed a loan agreement with Elsewedy Electric SAE to finance the construction of the first electricity storage project in Greece.

According to the relevant announcement, the project with an installed capacity of 50MW/100MWh, which was selected in the first competitive Procedure of RAAEY in July 2023, will be located in the Municipal Unit of Oinofyton of the Municipality of Tanagra, in the Regional Unit of Boeotia in the Region of Central Greece. The storage unit will be connected to the high-voltage grid (150KV) through a 33/150/ kv MT/HV substation, which will be constructed within the same site as the unit.

The total financing of the project amounts to €41,9 million and includes a loan from the Recovery and Resilience Fund (RDF) of €5,5 million, an investment aid from the RDF of €10 million, and a bank loan from the National Bank of Greece of €18,2 million, together with equity of Elsewedy Electric SAE of €8,2 million. The project is expected to be completed by the end of the fourth quarter of 2025.

Regarding the sale of the energy produced by the storage unit, a 10-year Operating Support Contract will be concluded with the RES and Guarantees of Origin Manager (ROGO).

"The National Bank is also a leading player in the launch of electricity storage projects in Greece, confirming its commitment to a sustainable future and its respect for the environment. These are projects that are expected to contribute to better grid management, enhance energy security and further develop renewable energy sources, aiming at the green transition of the Greek economy," the statement said.

The investment is being implemented in the framework of the National Recovery and Resilience Plan "Greece 2.0" with funding from the European Union - NextGenerationEU. It is part of the "Green Transition" and "Digital Transformation" pillars of "Greece 2.0".