The sale of 8.8MW Barth V to Encavis comes two months after the zero-subsidy plant was switched on. Image credit: BayWa r.e.
Germany’s subsidy-free solar scene has seen a landmark deal this week, with an investor moving to acquire what is being billed as the country’s largest project to date.
BayWa r.e. has sold its zero-subsidy 8.8MW Barth V solar plant to Encavis Asset Management, as part of a broader acquisition deal unveiled on Tuesday.
The agreed package will see a portfolio of 35MWp sold to Encavis Infrastructure Fund II, with five plants – Barth III to Barth IV – changing hands all in all.
Construction of the subsidy-free 8.8MW Barth V plant kicked off near Stralsund, a three-hour drive north of Berlin, around May. The solar plant was powered up in October, BayWa r.e. said.
According to the firm, the zero-subsidy project was helped along by pre-planned cabling routes and grid connections, as well as “close collaboration” with land owners and local residents.
Its development was supported via a 20-year non-recourse loan from UmweltBank, BayWa r.e. explained, describing the facility’s conditions as “attractive”.
Subsidy-free momentum heads to Europe's north
Under its new owner Encavis, Barth V will sell its output via a five-year power purchase agreement (PPA) with BayWa r.e.’s own energy trading subsidiary, BayWa r.e. Clean Energy Sourcing.
The four other plants Encavis is buying, all backed by German renewable subsidies, lie in the 0.75MW to 9.9MW range and were commissioned between early 2017 and late 2019.
The interest in zero-subsidy Barth V from both potential PPA offtakers and investors was “great”, said Matthias Taft, who looks after energy business at the board of parent BayWa AG.
According to new industry stats, Germany – Europe’s largest solar market at around 48GW – is set to end 2019 with 4GW in annual PV installs, overtaken only by Spain’s 4.7GW.
Leading ‘Solar Module Super League’ supplier, JinkoSolar has teamed with experts from TÜV NORD and Soltec to provide as usual a technically driven PV Tech ‘TechTalk’ series webinar to further understand the Tiger PRO modules impact on LCOE metrics. Register free now.
PV Tech is hosting a TechTalk Product Series webinar with LONGi Solar to help PV project developers, asset owners and interested parties become aware of the latest in utility-scale PV panel technology, performance and size that is redefining LCOE metrics.
The business of solar is changing, as the industry scales up, technology, IT and new players to the market will add complexity. This sparks a host of opportunities such as co-location of solar and storage and the rise of unsubsidised solar projects as well as challenges which will question the very business model of European solar asset owners. Solar Finance & Investment Europe is the meeting place for institutional investors, sovereign wealth funds, solar, wind and storage funds and large energy buyers to do business.
Understand fully the technical and logistical supply chains that determine the production and performance of solar modules, including all related factors impacting quality, reliability & bankability.