Soon after it closed its AEP-I investment vehicle at USD 490 million, Alcazar Energy Partners is kickstarting a 400 MW wind power investment in North Macedonia. New Prime Minister Hristijan Mickoski supported the project.

On its path to developing the largest renewable energy platform in the Western Balkans, Alcazar Energy Partners has just made a key step. The company said it would invest more than USD 500 million in a wind power plant of up to 400 MW in North Macedonia.

The sites for more than 50 turbines are on the territories of the municipalities of Karbinci, Radoviš and Štip south of the capital city of Skopje. There are only two wind farms in the country, much smaller ones, while another two are under construction.

Alcazar Energy set to boost North Macedonia’s wind capacity by nearly five times

The new project would alone increase North Macedonia’s total wind power capacity by almost five times. Alcazar Energy Partners estimated that the financial close and start of construction would both occur in the second half of 2025.

Alcazar Energy is preparing to acquire renewable energy projects in the Western Balkans

“We are thrilled to launch one of the most significant wind farm projects in the Western Balkans. This initiative will provide North Macedonia with much-needed clean and affordable electricity and create lasting local jobs,” Co-Founder and Managing Partner of Alcazar Energy Daniel Calderon stated.

He highlighted North Macedonia as an especially promising investment location.

“We look forward to collaborating with the government and local stakeholders as we build the country’s largest wind farm, significantly increasing its installed wind capacity. We build sustainable infrastructure where it is needed most – in growth markets – while generating infrastructure returns to investors. Our success in renewable energy project development and dedication to ESG principles highlight our capability and commitment in these key regions,” Calderon added.

Speaking at Belgrade Energy Forum 2024 last month, he revealed that the company is preparing two or three acquisitions of renewable energy projects over the next couple of quarters to reach 1 GW of capacity in the Western Balkans. Its total investment in the region is approaching USD 1 billion, the announcement reads.

North Macedonia pursuing energy independence

The wind park project will have a pivotal role in advancing North Macedonia’s Just Transition Investment Platform, announced at COP28, according to the company. The project is estimated to create more than 630 construction jobs produce enough clean energy per year to power over 100,000 households, while avoiding the annual release of over 670,000 tons of carbon dioxide equivalent, it underscored.

The wind farm is envisaged to consist of more than 50 turbines

“We are standing ahead of the largest investment in renewable energy sources that we ever had. This investment marks the beginning of the government’s policy to create energy independence for Macedonia. With multiple investments in the field of energy, we will establish for Macedonia to produce electricity for the needs of its citizens, and the surplus, due to the good network connection, can be sold to our neighbours,” the country’s new Prime Minister Hristijan Mickoski asserted.

Earlier he valued the investment at EUR 400 million to EUR 450 million and said it would add EUR 100 million to gross domestic product. It is the first project that Mickoski promoted, as his cabinet was sworn in only two days ago.

New wind project is significant for wider region

Due to North Macedonia’s grid connections with Greece, Bulgaria, Serbia and Kosovo*, the project will help to both reduce energy shortages and support the transition to renewable energy in the Western Balkans and Southeast Europe, the company said.

Alcazar Energy is a Luxembourg-domiciled sustainable infrastructure fund focused on utility-scale renewable energy projects in emerging markets. Following the success of its first investment vehicle, Alcazar Energy Partners I (AEP-I), it recently closed its second vehicle, Alcazar Energy Partners II, at USD 490 million. 

It will develop over 1.6 GW of greenfield clean energy projects, mitigate three million tonnes of greenhouse gas emissions per year and mobilise USD 2 billion of foreign direct investment across key emerging markets, the company stressed.

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* This designation is without prejudice to positions on status and is in line with UNSCR 1244/99 and the ICJ Opinion on the Kosovo declaration of independence.