The Diplomat
The European Investment Bank (EIB) has approved framework financing of up to EUR 1.7 billion to energy company Solaria for the construction of around 120 photovoltaic power plants mainly in Spain, as well as in Italy and Portugal.
The plants will have a total capacity of approximately 5.6 GW and an estimated output of 9.29 terawatt-hours per year and are expected to be operational before the end of 2028. The projects will be developed in less developed regions of the three countries and will generate some 11,100 jobs per year during the construction phase of the plants, according to EIB estimates. This operation represents Solaria’s most ambitious project financing to date. Solaria is the leading company in the development and generation of photovoltaic solar energy in southern Europe. Since its foundation in 2002, it has specialized in renewable energies.
The project is backed by the InvestEU program, which aims to mobilize more than 372 billion euros of additional investment in the period 2021-2027. The operation falls within the specific Sustainable Infrastructure policy of the InvestEU program and the objectives of the European Green Pact, through a supply of electricity equivalent to the average annual consumption of approximately two and a half million households and a reduction in greenhouse gas emissions equivalent to around three million tons of CO2 per year. The loan also forms part of the EIB’s specific support package for the REPowerEU plan, through which the EU is seeking to reduce its dependence on fossil fuel imports by increasing energy efficiency and boosting renewable energy production.
“With this project, which covers three markets in the EU, the EIB is demonstrating its strong commitment to clean energy by helping to ensure that Europeans live together in a framework where security of energy supply and access to sustainable energy are a guarantee,” said EIB Vice-President Ricardo Mourinho Félix at the signing ceremony, held this past Monday in Madrid. “As the Climate Bank, we are pleased to once again join forces with Solaria to further boost the EU’s energy transition, as well as economic and employment growth in less developed regions of countries with great potential for renewable energy, such as Spain, Portugal and Italy.”
European Commissioner for the Economy, Paolo Gentiloni, stressed that “this important operation is a great demonstration of the InvestEU program’s ability to significantly support Europe’s transition towards climate neutrality and energy independence.” “The project will provide up to €1.7 billion in financing for new PV plants in Spain, Italy and Portugal,” which “will not only help supply millions of households with clean energy, but will also create thousands of jobs in the construction phase in the regions where they will be deployed,” he added.
“With this €1.7 billion we will build 5.6 GW of photovoltaic solar energy in Spain, Italy and Portugal, with the aim of continuing to accelerate the energy transition,” explained the president of Solaria Energía y Medio Ambiente, Enrique Díaz-Tejeiro. “Thanks to this project we exceed our financing needs to meet our roadmap of reaching 6.2 GW by 2025.”
