The International Finance Corporation (IFC) is considering financing for a €262 million wind power project in Ukraine, as the country seeks to strengthen electricity supply and expand domestic renewable generation amid wartime pressure on its energy system, according to a disclosure seen by DevFiNews.
IFC plans to provide about €42 million from its own account for the 189-megawatt greenfield onshore wind project, according to the disclosure.
The project is being developed by Volyn West Wind-2 LLC and Volyn West Wind-3 LLC, special purpose companies incorporated in Ukraine.
The wind farm will sell its generation under a corporate power purchase agreement, a structure IFC said could help deepen Ukraine’s corporate PPA market and support similar long-term offtake arrangements.
The project companies are owned by VI.AN Holding through Wind Solar Invest LLC and Closed Non-Diversified Venture Corporate Investment Fund RIMINI, which is part of OKKO Group AG.
The sponsor is GNG Retail Limited, a Cyprus-based holding company for Concern Galnaftogaz JSC, the operator of Ukraine’s OKKO-branded fuel station network.
IFC said the project would add clean and affordable generation needed to help avert an imminent capacity shortage in Ukraine, which it classified as a fragile and conflict-affected market under extreme duress.
The project is expected to improve energy-system resilience by increasing the share of domestically produced renewable power and diversifying Ukraine’s generation mix away from fossil fuels.
IFC said its support may include own-account lending, concessional financing, first-loss guarantees and the mobilization of parallel loans.
It is also helping strengthen the project’s bankability through electricity market assessment and technical guidance on environmental and social risk management.
The lender classified the project as Category B, meaning potential environmental and social risks are limited, site-specific and manageable through mitigation measures.
Key issues include contractor management, labour safety, stakeholder engagement, community impacts and biodiversity risks involving birds and bats.
The proposed investment underscores continued multilateral support for Ukraine’s private-sector energy infrastructure, even as the war raises financing, construction and operational risks for large-scale power projects.