The European Bank for Reconstruction and Development (EBRD) is offering a sovereign loan of €45.75m ($49.77m) to Albania’s state-owned energy distributor, Operatori i Shpërndarjes së Energjisë Elektrike (OSHEE).
The loan will refinance €81.5m in short-term loans OSHEE secured in late 2021 to cover electricity imports during the global energy price surge.
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EBRD’s backing will assist in transforming the short-term loans into a long-term facility with current commercial lenders, releasing capital for essential green investments to support the company’s modernisation.
OSHEE has agreed to allocate €45m over the next four years to improve the reliability of its distribution network, allowing for the integration of additional renewable energy sources and minimising network losses.
The project also includes technical assistance to support OSHEE’s training academy, boost the skills of its workforce and improve the planning of long-term network investments.
The financing agreements were signed by EBRD vice-president Matteo Patrone, Albania Minister of Finance and EBRD Governor Petrit Malaj and OSHEE Administrator Enea Karakaci.
Patrone stated: “We are delighted to support OSHEE’s modernisation and sustainability goals.
“By unlocking capital for green investments, we are not only reinforcing the company’s infrastructure, but also paving the way for a more stable, resilient and sustainable energy future for the company and the citizens of Albania.”
The EBRD has been a key institutional investor in Albania, with €2.2bn invested in the country across 159 projects to date.
Karakaci stated: “This project is very important for OSHEE and the Albanian energy sector in general.
“It will enable us to continue enhancing and modernising the service we provide to our customers, and improve the reliability of that service, with the ultimate goal of providing stable energy at affordable prices.”
In February 2025, EBRD and the EU announced a financing package of €67.1m ($70.1m) to enhance Jordan’s power grid.
