Turkish electricity distributor Enerjisa Enerji has borrowed $110m from the European Bank for Reconstruction & Development (EBRD) to modernise its grid.

The company will use the money to provide sustainable and high-quality energy to 21 million people.

The seven-year loan is for its electricity grid and technology investments and operations with an inclusive and green focus.

Enerjisa Enerji is Turkey’s leading electricity distribution and retail company, 20% of which is publicly traded. The main shareholders are Sabancı Holding and E.On. The loan is to finance its infrastructure and grid investments.

Enerjisa Enerji will use the loan for digitalisation, integration of smart grid systems and renewable energy resources, as well as network investments and operations.

“Our collaboration with the EBRD is another milestone for sustainable energy and huge investments into the Turkish energy system,’’ said Michael Moser, CFO of Enerjisa Enerji. “I am very proud that, together with EBRD, we have written a new chapter in Enerjisa’s green financing history. We take sustainability very seriously and take several actions on all levels. The new sustainable energy world with renewable energy as basic energy source is only possible with huge investments into the energy infrastructure.”

He described the loan as another milestone for being able to push further for sustainable energy and huge investments into the Turkish energy system.

“I am very thankful of the trustworthy collaboration with EBRD and their profound understanding of the Turkish energy market,” he said.

Aida Sitdikova, EBRD director of energy, added: “We are pleased to expand and strengthen our cooperation with Enerjisa Enerji. In addition to backing its investments in the modern and efficient power grid, we also work together to promote greater career and training opportunities for young people and women. We applaud Enerjisa’s leadership in attracting green finance and look forward to seeing the company successfully tap into green bonds and loans market as envisaged in its newly developed green corporate finance framework.”