Allianz acquires giant subsidy-free solar plant in Portugal

Share on facebook
Share on twitter
Share on linkedin
Share on reddit
Share on email
The 46MW Ourika project, acquired by Allianz earlier this year. Source: WELink.

Investor Allianz Capital Partners has agreed the acquisition of what is expected to be Portugal’s largest unsubsidised solar project, continuing the positive signs that Europe’s solar industry is adapting to a post-subsidy environment.

The investment arm of the Munich-based insurance group today announced that it will acquire the 218.8MW Solara project in southern Portugal, expected to become the country’s largest PV power plant both without public subsidy and overall.

Solara has agreed terms for a 20-year fixed price power purchase agreement (PPA).

Construction works for Solara have already started. The commissioning of the project is planned for summer 2019.

Its developer, the Ireland-based WElink Group, sold another, smaller unsubsidised PV plant to Allianz earlier this year, the 46MW Ourika project

“Allianz is one of the leading investors in renewable energies in Europe as we aim to lead our industry in integrating ESG (Environmental, Social and Governance) factors into our investment businesses. This is already our second investment in Portugal in the subsidy-free area in combination with a PPA. We are delighted to partner again with WElink on this attractive solar project. With our ninth solar investment, Solara, we will have more than 90 projects in our renewables portfolio,” said Marc Groves-Raines, head of renewables at Allianz Capital Partners.

The acquisition is further evidence that European solar developers are finding new routes to market for projects in the wake of the subsidies that initially stimulated the first wave of large-scale solar projects across the continent but have since gradually dwindled.

Portugal and neighbouring Spain have emerged as leaders of Europe’s post-subsidy solar market, with the increasingly competitive price of solar-generated electricity making it a viable choice for utilities and corporates looking for affordable sources of power.

The second half of 2018 has seen the number of subsidy-free solar project deals increase significantly.

Read Next

July 20, 2021
Spanish developer Grenergy has added three new directors to its team with the aim of accelerating its European energy and storage operations
PV Tech Premium
July 7, 2021
Floating solar may be more commonly associated with Asia’s solar market, however the asset class is proving itself to be of significant potential throughout Europe, as evidenced by projects in the Netherlands, Germany and the UK. Exclusive to PV Tech Premium subscribers, we brought together industry stakeholders to discuss the size of the FPV opportunity.
July 6, 2021
A round-up of the latest solar financing news, featuring Repsol’s move into the US renewables market, Aquila’s latest acquisition in Portugal and VivoPower taking full control of its US PV development portfolio.
July 5, 2021
Shares in the renewables division of Spanish utility Acciona were up 7.3% on their initial public offering (IPO) price during their maiden day of trading on 1 July.
July 2, 2021
Malaysian utility company Tenaga Nasional Berhad (TNB) yesterday launched Vantage, a renewable energy investment and asset management company
July 2, 2021
Winning bidders from Portugal’s 2019 solar auction have been given more time to complete project licensing, the country’s environment ministry has confirmed to PV Tech.

Subscribe to Newsletter

Upcoming Events

Solar Media Events, Upcoming Webinars
July 29, 2021
Upcoming Webinars
August 19, 2021
At 9am (PT) | 6pm (CEST)
Solar Media Events
August 25, 2021