PPA Signed For 300 MW Solar Capacity In Italy

European Energy Secures Over 12-Year PPA For 300 MW Solar Power Capacity From Future Industrial PV Farms In Italy With Swiss Utility Axpo
03:58 AM (Beijing Time) - 16. January 2019
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In Italy, European Energy says it is developing a substantial pipeline of projects with up to 150 MW at ready-to-build stage, and it has now signed a PPA for 300 MW industrial PV capacity here with Axpo Italia. Pictured is the Temple of Hera in Sicily, Italy. (Photo Credit: hbieser/www.goodfreephotos.com)

Key Takeaways

  • European Energy has signed a long-term PPA for over 12 years for its 300 MW solar PV capacity in Italy
  • It will develop this capacity as industrial solar PV farms in the country and sell power generated by these to Axpo
  • European Energy and Axpo Italia haven’t divulged other details about the PPA, but say it is the first of its kind in the country where large-scale solar PV is new to the PPA concept

Danish renewable energy project developer European Energy has signed a long-term power purchase agreement (PPA) valid for more than 12 years for 300 MW solar PV capacity in Italy. It will sell clean power generated by its future industrial PV farms in Italy with a combined capacity of up to 300 MW to Swiss utility Axpo’s Italian subsidiary Axpo Italia.

In Italy, European Energy says it has a substantial pipeline of projects with up to  150 MW at ready-to-build stage.

The company hasn’t revealed other details about the deal with Axpo, but it points out, the PPA is the first of its kind in Italy, as large-scale solar PV is new to the PPA market in Italy.

“Solar is the fastest-growing form of energy, and Italy is a market with tremendous potential where we already are seeing great opportunity,” said CEO of Axpo Italia Simone Demarchi. “AXPO has bold ambitions to be one of the key players of the transition to low carbon energy and I have the personal conviction that we have the right risk appetite, the ability and knowledge to have a real impact by working alongside appreciated partners such as European Energy”.

In December 2018, European Energy signed an agreement with Swiss asset manager Re:Cap to sell 70 MW solar PV farm capacity in Denmark (see Swiss Asset Manager To Acquire 70 MW PV In Denmark).

This  300 MW PPA follows a number of power supply contracts signed in the recent past in Italy. In December 2018, Octopus renewed its PPA with Italian renewable energy trader EGO Group for 5 operational and subsidy free power plants with combined capacity of 63 MW until September 2023. Around the same time, Canadian Solar entered into a 10-year PPA for a 17.6 MW PV plant portfolio in Sicily, Italy with global commodities trader TrailStone GmbH. Back then, Canadian Solar said it is the longest term PPA for a fully unsubsidized PV portfolio signed till date in Italy.

Anu Bhambhani

Anu Bhambhani is the Senior News Editor of TaiyangNews

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Anu Bhambhani