Ireland’s Power Capital secures €240 million for solar projects
Power Capital Renewable Energy, Ireland’s leading solar Independent Power Producer (IPP), yesterday announced the closing of an up to €240 million construction equity facility with a consortium of lenders managed by Eiffel Investment Group that include Belgian insurance company Ethias and the European Investment Bank.
The facility will support the IPP’s plans to bring 1.2GW of solar projects into operation by 2025 and to expand internationally.
Part of the facility’s initial €100 million tranche will be used to build assets benefitting from signed Power Purchase Agreements (PPAs) with Microsoft and another technology company, with the remainder for assets having been awarded tariffs in the Irish RESS-2(Renewable Energy Support Scheme-2) auction.
A further €100 million may be made available through an additional tranche to build more assets in Power Capital’s pipeline, while up to €40 million may be made available for international expansion.
In 2020 Power Capital was acquired by Omnes Capital, which has since repositioned the Irish solar developer to become an independent power producer (IPP) and preparing the company to expand internationally. It has secured its reputation as Ireland’s leading IPP through securing a portfolio PPA with Microsoft, and one of the highest amount of MW’s in the RESS-2 auctions for any Irish company.
“It is fantastic to attract a club of such significant investors into the Irish solar sector,” said Justin Brown and Peter Duff, founders and Co-CEOs, Power Capital Renewable Energy . “Having the support from Eiffel Investment Group, EIB and Ethias will allow us to rapidly expand our construction roll out over the next years.”
The group has already commenced construction and expects 230MW to be completed by late this year across counties Cork, Wexford, Louth and Meath.
The European Investment Bank said it was pleased to back one of the largest ever investments in solar energy in Ireland that would strengthen domestic renewable power generation and cut carbon emissions.
“This new European support for 1.2GW of solar power investment across Ireland is a vote of confidence for Irish renewables,” said Eamon Ryan, minister for the environment, climate and communications, Republic of Ireland. “It will enable solar electricity to replace fossil fuel usage to power Ireland on sunny days and contribute to our target of up to 5GW of solar energy by 2025.”