Norway’s REC has sold 7.87MW of solar plants in Sardinia to investors servicing European pension and insurance funds.
The sale to investment firm, IKAV Global Energy S.a.r.l, reflects the continuing confidence in investing long-term in solar energy in Europe despite the decline of feed-in tariffs in some countries.
Director at IKAV, Constantin von Wasserschleben, reiterated a good investment return is vital and REC’s history of solar installations in Sardinia makes solar energy “a very sound investment”.
Matthias Ermer, managing director of REC, said “Excellent collaboration with local partners and stakeholders throughout the development and construction process made it possible to realise this project in a very short timeframe.”
The four ground-mounted projects were developed, constructed and financed by REC, including one 4,986kW plant in Villacidro, 996.4kW in Pischedda, 901.6kW in Ulmos and 990kW in Lula.
The projects are now on grid producing 12.5MWh annually for Sardinian households.
REC also said it was planning to stay in the European solar market, despite the expiration of certain feed-in tariffs, stating experience, electricity prices and irradiation levels make Europe a viable long-term investment location for solar.
“Italy has reached the end of the feed-in tariff era for solar power, and we expect the market will be driven by the new tax credit scheme, which will then be attractive for smaller system sizes up to 200 kW,” Ermer said.