El Salvador was home to a 286MW PV industry as of December 2018, according to IRENA (Credit: Flickr / Alexander Bonilla)
A German player has become the owner of a distributed solar pipeline in El Salvador, laying the groundwork for construction to launch later this year.
MPC Capital, a Hamburg-headquartered investor in real assets, has acquired a 6.5MW decentralised PV project in what it claims is its second renewable play in Central America.
The scheme has so far been co-developed between Costa Rican renewable firm Geo Ingeniería and Salvadorean engineering specialist Tecnica Internacional.
Deployment – set to cost US$7.5 million overall – is due to start in Q4 2019 and conclude before Q2 2020, by which point the plant should be up and running.
In a statement, MPC Capital explained EPC contracts are being drafted up, while talks on project financing are underway with what the firm described as “commercial lenders”.
The purchase is MPC’s first in El Salvador and was helped by the country’s “promising” mix of political support and conducive regulations, said Fernando Zúñiga, director at the asset manager.
MPC’s investment came via its Caribbean Clean Energy Fund, a platform launched in 2016 to purchase shares in renewable projects across the region.
The fund also owns the 51MW Paradise Park PV plant in Jamaica, which was backed by French and Dutch development money and began supplying power to the grid in June this year.
Rogelio Castro Vasquez, CEO of Geo Ingeniería and a key figure in the 6.5MW project, said distributer energy will be particularly central in El Salvador’s future power mix.
“The market has its own advantages such as [using US dollars as] currency, avoiding the problem of exchange rates,” Castro Vasquez remarked.
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 UK and Ireland markets are seeing multi-GW of pipelines being planned for new utility-scale solar and energy storage during the next few years. These complementary sectors are starting to form new built portfolios for some of the leading global developers and long-term owners. This webinar - featuring presentations from Finlay Colville and Lauren Cook - will explain what is driving the uptick in new project planning, a breakdown of the pipelines by pre-build status, and which companies are behind the new projects.
PV Tech is hosting a TechTalk Product Series webinar with Huayu New Energy to help installers, PV project developers, asset owners and interested parties to increase their understanding of the HY-2000-Plus microinverter and its ability to meet the need for more cost effective inverter solutions that deliver higher performance and safety.
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.