Biotrend will use the investment to advance the corporate governance and climate-risk management, and promote gender equality
The European Bank for Reconstruction and Development (EBRD) is investing in a minority stake in the leading waste-to-energy firm Biotrend Çevre ve Enerji Yatırımları.
Biotrend is primarily focused on activities related to integrated solid-waste management and renewable energy generation under municipal concessions of up to 20 years.
It operates 18 waste-to-energy plants in the Turkish cities of Izmir, Bursa, Balikesir, Hatay, Usak, Sivas, Aydın, Canakkale and Malatya, with a total installed capacity of 72.6MW.
Biotrend will use the investment to advance the corporate governance and climate-risk management, adopt environmental standards and promote gender equality in the workplace.
Biotrend Energy chairman İlhan Doğan said: “One of the most important solutions for a sustainable world is the use of renewable energy sources. The effects of climate change have once again been shown by the fires along the Mediterranean coast in the past few weeks.
“With new investments in the renewable energy field, it is possible to reduce carbon emissions and improve energy efficiency for a better future and healthier population. The use of biomass energy reduces greenhouse gas emissions and slows climate change.
“In addition, thanks to waste recycling, the soil, underground and surface waters will be protected, which ensures the production of water and nutrients. Biotrend Energy has grown approximately five times in terms of both turnover and EBITDA in the last three years.”
EBRD said that its investment in Biotrend will encourage private-sector in addressing municipal waste management challenge in Turkey.
The bank is a shareholder in the Turkish private waste management firm, and intends to promote private-sector participation in municipal waste management.
It is working with the Ministry of Environment and Urbanisation and Turkish municipalities to upgrade the legal framework for public-private partnerships focused on municipal services.
EBRD has invested almost €14bn in the country through 349 projects, with 95% of those in the private sector, till date.
EBRD Turkey managing director Arvid Tuerkner said: “Weak waste management is one of the top environmental problems in Turkish cities. Although municipalities are responsible for waste management in their jurisdictions, they face technical, financial and managerial constraints.
“Private companies with know-how, such as Biotrend, can help cities address the waste challenge while increasing the installed capacity of renewable energy.”