Belsh Photovoltaic Park
The European Bank for Reconstruction and Development (EBRD) is considering providing a loan to KESH, the state-owned energy producer in Albania, to finance the construction of a 50 MW solar photovoltaic (PV) plant and the associated electrical infrastructure, including a 5 km, 110 kV overhead transmission line connection to an existing substation in Kajan (the “Project”).
The project has been classified as Category B in accordance with the EBRD’s 2019 Environmental and Social Policy. A comprehensive environmental and social assessment of the project was conducted in September 2023.
For more information, please find the full document below:
Project Description
The project is located 50 km south of Tirana, within the territory of Belsh Municipality, in Elbasan District, in central Albania.

Figure 1 – Project Location
The project involves the construction and operation of a 50 MW solar photovoltaic (PV) plant. A pre-feasibility study was prepared by KESH in 2022. The PV plant will include:
- Rows of solar panels mounted on fixed frames or trackers, or a combination of both: KESH will select the option with the best cost-benefit ratio.
- Roads/access passages within the PV plant: main passages will be paved with stones or gravel, while the areas under the panels will remain with natural soil.
- Inverters to convert electricity from DC to AC.
- A switchgear and a 20-110 kV transformer substation – an area of less than 1 hectare will be required within the 18 ha agricultural land planned to be acquired by KESH for this infrastructure.
- An 8-9 km 110 kV overhead transmission line connecting to the existing substation in Kajan. This will include an expansion of the Kajan substation, as there is no space to add a line in the existing layout: a new bay will be constructed, in coordination with OST (Transmission System Operator), which has already approved the principle of a connection at the Kajan Substation.
- A parking area, workshops, and facilities for both technical and non-technical personnel during operation.
- A fence around the PV area to prevent unauthorized access.
- A temporary storage area and mounting/workshop zones, as well as potentially accommodation for workers during the construction period.
- Improvement, expansion/reforming of the local access road to be selected.
Implementation Agreements and Applicable Environmental and Social Requirements
The project developer is KESH, the national energy company.
The project will be constructed through an Engineering-Procurement-Construction (EPC) contract and will be operated by KESH.
Project preparation is expected to last two years from September 2023. The construction of the project is expected to take approximately 12 months after the signing of all necessary agreements and obtaining permits/authorizations.
Physical Impacts and Mitigation Measures
The main physical risks and potential impacts are related to the construction phase and include
- Increased vehicle traffic, accompanied by accident risks on the access roads to the PV park construction area
- Localized increase in noise, emission of discharges, intermittent blockage of access during construction
- Earthworks and traffic along the transmission line (TL) route
- Land use modification on over 50 ha, mainly for the installation of PV panels
Impacts on Biodiversity and Mitigation Measures
Database
A visit to the project area, a review of literature, and the existing biological database were conducted to determine the species present in the project area. The proximity of the project to protected or internationally recognized areas was also evaluated: The PV park area and TL route are outside and far from any such zones.
Biodiversity observations identified a number of species of conservation interest in the project area and its vicinity. These include
- Hermann’s Tortoise (Testudo hermanni), which is quite widespread in the area
- Bulbous plant species (Colchicus, Crocus, Orphys, and Orchidae)
- Terrestrial mollusks with limited distribution (8 species)
- Birds, many of which are associated with surrounding water bodies
Mitigation Measures
The approved mitigation measures aim to protect species and habitats of conservation interest in accordance with EBRD’s Performance Requirement 6.
Small areas of natural forests and forest fences within the PV zone will be preserved.
For tortoises, the objective of the approved mitigation measures is to ensure no net loss of individuals or habitats during the construction and operation of the PV park. This will include the collection and relocation of individuals under the direct supervision of an experienced herpetologist, as well as the restoration of ecological continuity (after construction, the fence will be opened at specific points).
Restoration is planned for the bulb plants, all of which can be easily collected and replanted before construction.
For mollusks (snails), scientific information will be consolidated under the supervision of an experienced malacologist (mollusk expert), as the lack of knowledge on the ecology and distribution of identified species appears to be a significant gap in this field.
Social Impacts and Mitigation Measures
Employment: During the peak construction period, up to 100-150 workers will be employed. After the completion of construction, the operational phase will require a very limited number of staff.
Land Acquisition and Resettlement: The project will acquire and use state-owned land for the PV park and its substation. Involuntary land acquisition through a compensation procedure will be required for the transmission line (around 30 towers), the expansion of the Kajan substation, and the widening of local access roads. A Resettlement Framework has been prepared and will be expanded into a Resettlement Plan before the land is acquired, and will then be implemented to ensure compliance with national legislation and EBRD’s Performance Requirement 5.
Concerns: Noise and traffic are the main concerns expected during the construction period. This will only be an issue along the access roads and transmission line route, as the PV area is far from any residential buildings.
Entertainment and Tourism: The project site and its proximity do not offer any particular interest for recreational or tourism activities. Poaching or illegal hunting is practiced in the area, which presents a risk that needs to be managed for the workers.
Public Health: The construction and operation of the project will not pose any health risks to the surrounding population.
Worker Health and Safety: Before the start of any construction activity, the contractor will prepare specific Health, Safety, and Environmental Management Plans.
Cultural Heritage: Paleolithic stone tools were found in the project area during the environmental and social review. An archaeological survey will be organized before construction.