NEPCO Restructuring loan (EBRD-50034)

Countries
  • Jordan
Where the impacts of the investment may be experienced.
Financial Institutions
  • European Bank for Reconstruction and Development (EBRD)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Active
Bank Risk Rating
B
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
Oct 17, 2018
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
Hashemite Kingdom of Jordan
The holder of the loan, grant, or other investment.
Sectors
  • Energy
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 281.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Project Cost (USD)
$ 281.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.
Primary Source

Original disclosure @ EBRD website

Updated in EWS Jan 28, 2019

Disclosed by Bank Aug 16, 2018


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Project Description

According to bank documents, the investment involves provision of a loan to the Hashemite Kingdom of Jordan, to be extended to the National Electric Power Company (NEPCO) to assist Jordan in reforming and developing its electricity sector. The Project will support NEPCO to adapt its operations to allow for further development of renewable energy in Jordan and to improve the sector's sustainability.

The proceeds of the Bank's loan will be used for NEPCO to

  1. Finance capital expenditures to improve renewable energy integration, including smart grid systems and two new substations; and
  2. Refinance existing debt to lengthen the tenors and provide terms more consistent with its operations.
Investment Description
  • European Bank for Reconstruction and Development (EBRD)

Up to USD 200 million of the proceeds will be applied to refinance short term debt.

Private Actors
Contact Information

Nisreen Abu Aboud
nabuabood@nepco.com.jo
+96265858615
http://www.nepco.com.jo/
National Electric Power Company 275 Zahran Street P. O. Box 2310 Amman 11181 # Jordan

ACCOUNTABILITY MECHANISM OF EBRD

The Project Complaint Mechanism (PCM) is the independent complaint mechanism and fact-finding body for people who have been or are likely to be adversely affected by an European Bank for Reconstruction and Development (EBRD)-financed project. If you submit a complaint to the PCM, it may assess compliance with EBRD's own policies and procedures to prevent harm to the environment or communities or it may assist you in resolving the problem that led to the complaint through a dialogue with those implementing the project. Additionally, the PCM has the authority to recommend a project be suspended in the event that harm is imminent. You can contact the PCM at pcm@ebrd.com or you can submit a complaint online using an online form, http://www.ebrd.com/eform/pcm/complaint_form?language=en. You can learn more about the PCM and how to file a complaint at http://www.ebrd.com/work-with-us/project-finance/project-complaint-mechanism.html.