EBRD Backs Landmark Solar and Battery Storage Project in Hungary with €70 Million Financing

The European Bank for Reconstruction and Development (EBRD) has committed €70 million in financing to support the development of one of Hungary’s largest hybrid renewable energy projects, combining utility-scale solar generation with battery energy storage.

The investment forms part of a broader €210 million financing package alongside commercial banks and will fund a portfolio of solar photovoltaic (PV) plants with a total capacity of 450 MW, paired with a co-located 250 MW / 1 GWh battery energy storage system (BESS) in northeastern Hungary.  

The project is being developed by Renalfa IPP, a regional independent power producer active across Central and Eastern Europe. It marks one of the first project-financed hybrid renewable assets in the region, highlighting growing investor confidence in integrated solar-plus-storage solutions.  

Once operational, the project is expected to generate approximately 448 GWh of renewable electricity annually, contributing significantly to Hungary’s target of sourcing 30% of its final energy consumption from renewables by 2030.  

Notably, the electricity generated will be sold on a fully merchant basis without subsidies or long-term power purchase agreements, signaling increasing market maturity and the commercial viability of renewable energy investments in Hungary.  

By integrating large-scale battery storage with solar generation, the project aims to address intermittency challenges, enhance grid flexibility, and strengthen energy security amid rising volatility in energy markets.  

This investment also represents the EBRD’s return to Hungary’s energy sector after more than a decade, reinforcing its commitment to supporting the country’s green transition and broader decarbonization goals.