TIRANA, November 27 – The Parliamentary Committee on Economy, Employment and Finance approved the draft law for the guarantee agreement between Albania and the European Bank for Reconstruction and Development. The agreement supports a 50-megawatt solar plant in Belsh. The project strengthens energy security and widens the national production portfolio.

Deputy Minister of Infrastructure and Energy Besjan Kadiu highlighted the rapid expansion of solar power. He said the new plant increases national capacity and follows the positive trend of recent years. The project site lies in a hilly area about eight kilometres from the Kajan substation. This point will serve as the planned grid connection.

Kadiu stressed Albania’s favourable solar conditions. High radiation levels throughout the year support stable photovoltaic production. The project delivers clean energy, creates jobs and attracts new investment in renewable power. It also reduces dependence on imports and fossil fuels. These effects support the country’s sustainable-development targets and lower environmental pressure.

The draft law authorises the state guarantee for the loan between the Albanian Power Corporation and the European Bank for Reconstruction and Development. The plant will generate about one percent of annual domestic output. It also broadens an energy mix still dominated by hydropower.

The total project cost reaches 41.7 million Euros. The loan provides 30 million Euros. The Albanian Power Corporation adds 2.2 million Euros as local contribution. A 9.6-million-dollar grant from the Western Balkans Fund lowers the financial burden and improves feasibility.

The opposition raised several concerns. Democratic Party MP Besart Xhaferri questioned the unconditional state guarantee. He said such a guarantee places direct fiscal pressure on the state and raises budgetary risk. He also noted the absence of limits on exposure to foreign obligations. According to him, this situation could activate the guarantee in the future and add financial strain.

/a.p./