The Asian Development Bank (ADB) and ACWA Power have signed a $51 million loan agreement to finance the Nukus 2 Wind and Battery Energy Storage System (BESS) project in Uzbekistan's Qoraozak district, located in the Republic of Karakalpakstan. The project will be developed by ACWA Power Beruniy Wind FE LLC, a wholly owned subsidiary of ACWA Power.

The 200 MW wind farm and 100 MWh battery storage system mark Central Asia's first utility-scale wind project integrated with energy storage. The financing includes $25.4 million from ADB's ordinary capital and $25.4 million from the Leading Asia's Private Infrastructure Fund 2, administered by ADB.

Other key financiers include AIIB, FMO, Standard Chartered Bank, and Saudi EXIM, providing parallel loans.

According to Kanokpan Lao-Araya, ADB Country Director for Uzbekistan, the hybrid system will enhance energy reliability, support grid stability, and contribute to Uzbekistan's target of achieving 54% renewable energy in its electricity mix by 2030.

The project is expected to generate approximately 728 GWh of clean electricity annually, reduce over 406,000 tons of COâ‚‚ emissions per year, and create over 200 jobs during construction and operations.

As part of its support, ADB also provided a $7.5 million government-backed credit guarantee to attract private investment and lower project tariffs. The initiative aligns with Uzbekistan's Strategy 2030, which aims to install 25 GW of renewable energy capacity and reduce carbon intensity by 35% by 2030.