Industrial conglomerate GFG Alliance has signed an agreement with Ignis to co-invest in the development, construction, operation and maintenance of Spanish solar and wind projects with a capacity of around 1.2GW.
GFG’s energy business, Simec Energy Group, has formed a joint venture with Ignis to develop what it describes as “Spain’s largest renewable energy programme for energy intensive industries”.
As the owner of steel and aluminium companies, GFG Alliance said the partnership will help fuel its growth in energy intensive industries as well as its mission to be carbon neutral by 2030. The programme will focus on solar parks across Spain and wind projects in the northern Galicia region, with planned completion by 2023.
GFG Alliance executive chairman Sanjeev Gupta said the joint venture could bring “enormous economic, environmental and social benefits” to both Galicia and Spain as a whole. “We have proved our ability to develop, finance and build these projects elsewhere across the world and look forward to combining our expertise with that of Ignis to do the same here in Spain.”
Simec currently has around 600MW of existing capacity and is developing a further 2GW of renewable energy plants, including a 280MW solar park in South Australia and a 160MW onshore wind farm in Scotland.
For Ignis, the news comes a week after it secured a deal to develop 3.3GW of solar projects in Spain for oil major Total. The company operates and delivers energy management services to 2.7GW of power generation assets and currently has a renewable development portfolio of more than 10GW.