Chile EDPR Obtains 628 MW Wind as well as Solar Portfolio in Chilean Market

• Spain-headquartered renewable resource business EDP Renewables (EDP Renováveis) recently introduced that it has actually authorized agreements to obtain a 628 MW wind and solar portfolio in Chile, with business operations anticipated to start in between 2023 and also 2025.

The purchase has actually been reached through two different agreements with Atacama Power and Lader Energy for a complete consideration of up to $38 million, conditional to the effective achievement of pre-determined landmarks for every project.

Miguel Stilwell de Andrade, EDPR and also EDP Team Chief Executive Officer, claimed, "We are dedicated to playing an energetic role in the power transition as well as in the Latin American markets, where Chile offers world class renewable resource generation potential. The access right into this market verifies the relevance of the region for EDPR's ambitious international development technique. This step enhances our worldwide leadership as well as we are confident of Chile's development capacity for the renewable energy industry."

The portfolio includes a 77 MW wind farm with a 20-year PPA, expected to enter in procedure in 2023, and also 551 MWs in projects under growth, consisting of two wind farms amounting to 297 MWs and also one 254 MWac solar park. These projects will be actively participating in the upcoming controlled tenders and in the exclusive PPA market in Chile, intending to participate in procedure by 2025.

Conclusion of the deal for the 77 MW wind farm undergoes governing approval and other normal closing conditions for a transaction of this nature. Completion of the 551 MWs of projects under advancement has occurred simultaneously to the signing of the agreements.

This portfolio enables EDP group to establish its presence in Chile with a large as well as technologically diversified portfolio at different stages of growth. EDPR will certainly be pursuing added wind as well as solar projects in addition to environment-friendly hydrogen growth chances in the country as well as will play an energetic role in the eco-friendly energy shift in Chile.

In addition, the entrance into the Chilean market, strengthens EDPR's visibility in Latam, where it presently owns 0.4 GW of running capability as well as 1.1 GW of secured capacity in Brazil as well as 0.5 GW of secured capacity in Colombia.

The Chilean power market is sizeable as well as still very dependent on thermal generation which currently stands for c. 50% of the generation mix. In regards to renewables, the nation has solid basics both for wind and also solar as well as a steady regulatory structure with presence on long-term PPAs, both with controlled tenders as well as the progressively expanding exclusive PPA market.

Chile has laid out an ambitious roadmap that describes strategies to produce 20% of its power from non-hydro sources by 2025 as well as 70% by 2050. The roadmap even more outlines considerable possibility for the advancement of large-scale eco-friendly hydrogen projects, giving an appealing long-lasting development outlook for renewables in the nation.

EDP's entry into the Chilean market is within the context of the EDPR Service plan 2021-25, giving diversification and development optionality in a big renewables market with strong growth leads, even more reinforcing EDPR's worldwide leading setting in renewables.