64MW Solar PPA: Axfood, Alight Unlock New Era of Renewable Energy in Sweden

• Alight has signed a PPA with Axfood for the largest solar park in Sweden, unlocking non-recourse project financing. SEB will provide the debt financing to build the 64MW park, which will be operational in 2024 and feature initiatives to promote biodiversity.

Alight, a PV developer, has signed a PPA with food retail group Axfood for a 64MW solar park in Hallstavik, outside Norrtälje, Sweden. This is three times larger than any current solar park in Sweden and unlocks the possibility to use non-recourse project financing for the first time. Axfood will purchase the clean energy at a low, fixed price for 12 years. Construction will begin this week and the solar park will be operational in Q2 2024. Additional initiatives will promote biodiversity with the installation of wood mold boxes, bat houses and sand beds for bees. SEB, a leading northern European financial services group, will provide the debt financing. This marks a shift in the feasibility of large-scale solar in Sweden and a greater commitment to combat climate change.

64MW Solar PPA in Sweden: Impact?

Impact:

• Introduction of non-recourse project financing for the first time, signaling a shift in feasibility of large-scale solar in Sweden
• Will help Axfood to better hedge against market volatility
• Will add new renewable power capacity to the Swedish grid
• Estimated annual production of 63GWh, equivalent to the electricity consumption of roughly 12,600 villas
• Promotion of biodiversity by installing wood mold boxes, bat houses and sand beds for bees
• Will be Sweden’s largest solar park at the time of commissioning
• Contribution to increasing the amount of renewable electricity on the market