UK and Israeli firms to release 420MWp merchant solar duo in Spain

Feb 5, 2020 10:48 AM ET
  • Spain is poised to host yet another major subsidy-free solar setup, an additional sign that foreign gamers wish to sidestep power purchase contracts (PPAs) altogether.
UK and Israeli firms to release 420MWp merchant solar duo in Spain

UK designer Hive Energy and Israeli financier Noy Fund have teamed up to deploy a 420MWp duo of PV jobs in the Castilla-La Mancha region, a joint statement described on Monday.

The partnership will see Hive Energy –-- a solar professional headquartered in the UK county of Hampshire –-- manage building and construction of the 2 plants, with works set to start in Q3 2020.

For its part, Noy Fund, a Tel Aviv-based infrastructure fund manager, will be the majority investor of both tasks and bankroll implementation expenses.

On Tuesday, a source near to the deal confirmed the 420MWp duo will be deployed on a zero-subsidy basis, with strategies by its sponsors to follow the merchant method.

PV Tech comprehends the objective is to produce revenues without the requirement to contract electrical power through PPAs, working rather through direct power sales to the grid.

Newbie joins advocates of merchant solar in Spain

In a prepared statement, Hive Energy CEO Giles Redpath explained the company’& rsquo; s brand-new solar push in Spain “€as a & ldquo; & euro; 300 million [US$ 331 million] flagship task".

“& ldquo; As part of our 1.5 GWp pipeline of projects in Spain we are pleased to be making a significant contribution to Spain’& rsquo; s carbon-reduction programme,” & rdquo; Redpath added.

For Hive Energy, the handle Israel’& rsquo; s Noy Fund in Spain contributes to its PV portfolio in nations consisting of Turkey, Mexico and its house UK market, where it has a 350MW task that has actually been in the works for years.

In Spain, the beginning of yet another zero-subsidy task looks set to seal the country’& rsquo; s status as a popular destination for these ventures, reversing years of market paralysis.

The nation –-- home to almost 9GW of cumulative PV after topping Europe’& rsquo; s 2019 install charts-- recorded US$ 6 billion in general job financing last year, according to BloombergNEF.

The decision by Hive Energy and Noy Fund to go merchant sees them join a growing list of designers, consisting of Renovalia and the 79.2 MW pipeline it is eyeing likewise in Castilla-La Mancha.

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