Balkan Region Set to Attract Renewable Investments Interest

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.