Renalfa IPP secures EBRD financing for one of Hungary’s largest hybrid renewable energy projects

The European Bank for Reconstruction and Development is providing EUR 70 million to special purpose companies of Renalfa IPP as part of a wider EUR 210 million financing package for the implementation of a hybrid energy project in Sihalom, Hungary. The project includes the construction of a 450 MW solar photovoltaic park combined with a 250 MW / 1,000 MWh battery energy storage system. The EBRD describes the deal as one of the first examples of project financing for a utility-scale hybrid renewable energy asset of this kind in Central and Eastern Europe.

Once commissioned, the facility is expected to generate around 448 GWh of renewable electricity annually. According to the EBRD, the project will strengthen grid flexibility, help address the intermittency of solar generation, and support Hungary’s energy security in an increasingly volatile electricity market. The Bank also links the investment directly to its strategy in Hungary aimed at supporting the green transition and enhancing energy resilience.

Renalfa IPP is a joint venture between Renalfa Solarpro Group and the French infrastructure investor RGREEN INVEST. According to company and EBRD data, the group has more than 1 GW of late-stage projects and is active in Hungary, Romania, Bulgaria, and North Macedonia. In 2025, the EBRD also approved up to EUR 100 million in holding-level financing for Renalfa IPP to support the development of a regional pipeline of around 1 GW of renewable energy assets and approximately 3 GWh of battery storage capacity across Bulgaria, Romania, and Hungary.

At the same time, Renalfa continues to expand its regional portfolio through the new Renalfa Power Clusters platform. In early April 2026, the joint venture completed the acquisition in Romania of the 365 MW Horia 2 solar project and a separate 400 MW / 800 MWh battery storage project in Arad County, underlining the company’s strategic focus on large hybrid renewable clusters in South-Eastern Europe.

IDR commentary

This agreement with the EBRD shows that the energy market in Central and South-Eastern Europe is entering a phase in which investors are moving from stand-alone solar or wind assets toward integrated energy clusters with storage. For the Danube region, this is strategically important because the combination of renewable generation and BESS creates a new quality of energy security: it reduces peak imbalances, improves grid resilience, and lays the groundwork for deeper electricity market integration across the macro-region. More broadly, such projects indicate that the energy transition in Central and Eastern Europe is increasingly relying not only on new renewable capacity, but also on flexibility infrastructure, without which large-scale green expansion will remain constrained.