€20mn Financing For 40 MW Polish Solar Projects

Germany’s SUNfarming Closes €20 Million ($22.7 million) Financing Framework For 40 MW Solar PV Project Portfolio In Poland
07:32 AM (Beijing Time) - 24. January 2019
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Poland is a key market for SUNfarming, which plans to develop a 40 MW PV portfolio in the country using proceeds from the €20 million ($22.7 million) financing framework it has secured. (Photo Credit: SUNfarming Group)

Key Takeaways

  • SUNfarming Group of Germany announced it has secured €20 million ($22.7 million) in financing to develop its PV portfolio in Poland
  • It plans to use the proceeds to finance the construction phase of its existing and planned solar PV portfolio in Poland where it is looking to expand its existing portfolio in the country to 40 MW in 2019
  • Some of the money will be used for 4 solar projects of 1 MW each that are operational since December 2018 in Ostroleka region of Poland
  • SUNfarming also plans to finance 5 new projects of 1 MW each to be located near Łask in Łódź Province and Lower Silesia province near Ząbkowice Śląskie

Germany based solar power project developer SUNfarming Group has secured €20 million ($22.7 million) in financing to construct a portfolio of 40 MW PV project capacity in Poland. First and foremost, it will use the money for 4 solar projects of 1 MW each, which it won during the 2016 auctions in Poland. All of these 4 projects are operational since December 2018 in Poland’s Ostroleka region.

Some part of the financing will be used for 5 new projects with 1 MW capacity each. Out of these 5 projects, 3 will be built near Łask in Łódź Province and 2 in Lower Silesia province near Ząbkowice Śląskie. It won these projects in the June 2017 auction and plans to put these into operation by the end of Q2/2019.

SUNfarming says all projects awarded under the auction mechanism have a fixed feed-in-tariff with 15-year power supply contract for differences with the Polish Energy Agency URE.

The company said the financing facility of €20 million will be used to finance the construction phase of the existing and planned photovoltaic projects of SUNfarming in Poland and was collateralised at the level of a Polish asset holding company owned by the project companies.

In 2019, the Polish entity of the group, SUNfarming Polska, plans to expand its existing solar portfolio in the country to at least 40 MW. Predominantly projects it won during 2017 and 2018 auctions will be realized.

“The bridging line enables us to consistently implement our strategy in Poland and accelerate our international growth. With a planned PV capacity of 1.2 GW by 2020 with currently only about 360 MW of installed capacity, Poland represents an important future market for us,” said Martin Tauschke, managing director of SUNfarming GmbH and SUNfarming Polska sp.z.o.o.

Anu Bhambhani

Anu Bhambhani is the Senior News Editor of TaiyangNews

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Anu Bhambhani