Financing for the construction of an underground electrical substation in Tirana/ EBRD and OSHEE sign the agreement

2026-04-01 14:02:00, Aktualitet CNA

Financing for the construction of an underground electrical substation in

The European Bank for Reconstruction and Development announced that it has signed a €22.5 million sovereign loan with the Electricity Distribution Operator (OSHEE), the Albanian state-owned electricity distribution and supply company, to finance the construction of a new 110/20 kV underground substation in the center of Tirana.

The investment will help increase the security, sustainability and efficiency of the capital's electricity distribution network, in support of the implementation of the Tirana Green City Action Plan (GCAP), within the framework of the EBRD's Green Cities programme.

Tirana's GCAP was approved in 2018 and includes a commitment to expand modern, sustainable electricity distribution infrastructure throughout the capital.

The financing replaces €14.5 million previously allocated under a previous EBRD loan and provides an additional €8 million. The funds will be used to improve grid stability in a rapidly growing urban area and help reduce technical losses, contributing to a broader transition in the energy sector in Albania.

Ekaterina Solovova, EBRD Director in Tirana, said: “The investment will strengthen Tirana’s electricity distribution system in the context of growing demand and expanding urban development. By supporting the development of modern and sustainable electricity infrastructure, we are supporting Albania in increasing its energy security and developing green urbanism.”

The EBRD's Green Cities Programme helps cities address their most pressing climate and environmental challenges through targeted investments and support for green policies.

Each participating city develops and implements a Green City Action Plan that prioritizes sustainable infrastructure and supports a better quality of life for residents. Tirana was one of the first three cities to join the EBRD Program in 2016.

The EBRD has invested in Albania since 1991, with more than €2.4 billion committed through 180 projects in energy, infrastructure, financial institutions and the private sector. /Monitor