EDP Acquires Distributed Solar Generation Company

• EDP Brasil has bought AES Inova to add to its distributed generation solar business
• The acquisition adds to EDP's portfolio 34 MW of solar PV assets, including 16 contracted and operational projects
• It plans to develop remaining 18 MW capacity which will allow it to 'engage in a strategic market, and exploit operational synergies with other assets in the region'

EDP Brasil, the Brazilian arm of Portuguese energy group EDP, has invested BRL 177 million ($31.5 million) to acquire AES Inova and add to its distributed solar generation portfolio a total of 34 MW. AES Inova is the distributed generation investment platform of AES Brazil.

This 34 MW is a collection of assets in Rio Grande do Suk, São Paulo and Minas Gerais, with around 16 MW in contracted and operational projects, and 18 MW ready-to-build facilities in Minas Gerais. EDP said it will develop this 18 MW capacity 'engage in a strategic market and exploit operational synergies with other assets in the region'.

EDP adds the acquired capacity to its EDP Smart portfolio which covers solar energy, electric mobility, among other such services from the company.

At the end of 2020, EDP had 65.3 MW solar energy capacity in its portfolio comprising 34.5 MW completed for various business clients and 30.8 MW under development and construction.

"For EDP, this operation represents an excellent combination of contracted projects – which means guarantee of revenue and mitigation of risks – and projects under construction – in which we stand out for the excellence of delivery in the predefined time and cost," said João Marques da Cruz, EDP's CEO in Brazil. "This is yet another firm step by EDP towards its goal of leading the energy transition in the country, focusing heavily on distributed and centralized solar generation (utility scale).".

In December 2020, EDP Brasil signed an investment agreement with Blue Sol to acquire 40% stake in Brazilian distributed generation solar PV company.

Recently, the EDP Group came out with its Strategic Update for 2021-2025 as it plans to go coal-free by 2025 and have 100% renewable energy in its portfolio in 2030, translating into more than 50 GW capacity, growing it from 74% at present. The company will be investing €24 billion for this energy transition with 80% on renewables. It aims to deploy 4 GW renewable energy annually through wind, solar, hydrogen and storage, and doubling solar and wind capacity additions by 2025. By 2025, wind and solar together should represent 25 GW capacity in its total portfolio,