The Green for Growth Fund (GGF) will provide the Norwegian company Scatec Solar, represented by Scatec Solar ASA, with a loan of EUR 9 million for the construction of a 45 MW solar power plant near Bohuslav (Kyiv region).
According to a press release from GGF, this year this is the second major investment by the Norwegian company in the renewable energy fund in Ukraine. The first one was the project of the 250 MW wind farm Syvash (Kherson region).
In general, the fund’s investments in Ukraine amount to almost EUR63 million. This project will contribute to the country’s strategy to increase the share of renewable energy in its total supply to 25% by 2035, the fund said in a press release.
The Green for Growth Fund finances renewable energy projects aimed at reducing carbon dioxide emissions in 19 countries of South-Eastern Europe, the Caucasus, Ukraine, Moldova, the Middle East and North Africa.
Scatec Solar in early June signed an agreement with the Dutch development bank FMO to sell a 40% stake in the project of building the Kamyanka solar power station with a capacity of 32 MW in Cherkasy region, the company’s press service has reported.
According to its data, the project with a total cost of EUR35 million is 70% financed by a loan from the European Bank for Reconstruction and Development (EBRD), the rest was issued by FMO.
According to the project, Scatec Solar is also a supplier of design, procurement and construction services and will provide services for its operation and maintenance, as well as asset management, the report says.
As reported, Scatec Solar plans to build about 400 MW solar plants in Ukraine in 2019.
Norway’s Scatec Solar jointly with China’s POWERCHINA Guizhou Engineering Co. Ltd. has started implementing a project to build the Prohresivka solar power plant with a capacity of 148 MW (Prohresivka, Mykolaiv region). The press service of the company reported that the total cost of the project is EUR 124 million. POWERCHINA covers 65% of capital expenditure. The launch of the plant is scheduled for H1 2020.
As reported, Scatec Solar in 2018 established and acquired about half a dozen companies in Ukraine to implement its projects on the construction of solar power plants.
Norway’s Scatec Solar in 2018 established and acquired around a dozen of companies in Ukraine to implement its projects to build solar power plants. According to a report of Scatec Solar for 2018, the company entered into agreements with Rengy Development and obtained 51% in Rengy Bioenergy. At the end of 2018, the companies started building a solar power plant in Mykolaiv region with a capacity 47 MW for EUR 52 million. The European Bank for Reconstruction and Development (EBRD) and the Black Sea Trade and Development Bank (BSTDB) signed credit agreements of 50% each of the non-recourse debt financing of the project. The credit facilities amount to EUR 36 million and covers 70% of the total project costs. Commercial operation is expected during 2019.
In 2018, Scatec Solar signed agreements securing the 30 MW Kamianka project in Cherkasy region with a total investment of EUR 35 million. EBRD and FMO, the Dutch development bank, signed credit agreements for the non-recourse debt financing of the project. The credit facilities amount to EUR 24.5 million and covers 70% of the total project costs. Construction started early 2019 with commercial operation expected in fourth quarter 2019.
During 2018, Scatec Solar signed agreements securing projects with total capacity of 251 MW in Ukraine. Two of these projects secured financing in 2018 and moved into construction with 174 MW in project backlog. Total capex for the projects is estimated to EUR 193 million. In Ukraine, Scatec Solar is developing projects totalling 163 MW in addition to the 251 MW in project backlog and under construction.
For the implementation of the projects the company also established Scatec Solar Ukraine Opr Comp (EPC) in 2018. The Norwegian company in 2018 via its Dutch subsidiary Scatec Solar Ukraine B.V. became owners of 100% of Atlas Capital Energy, Greenteco SES, Progressovka and Boguslav Energy.
Atlas Capital Energy LLC, belonged to Norway’s Scatec Solar, in March 2019 will start building a solar power plant with a capacity of 50 MW in Hola Prystan district of Kherson region. This information was presented at a meeting of Head of Kherson Regional Administration Andriy Hordeyev with top managers of Atlas Capital Energy LLC on Wednesday, the press service of the administration reported. Currently, according to the regional administration, five wind farms and 31 solar power plants with a capacity of 294 MW are located in Kherson region. The volume of attracted investments in these facilities is UAH 1 billion.
As reported, in January 2019, Scatec Solar said that its investment in the construction of a solar power plant with a capacity of 150 MW in Mykolaiv region will amount to EUR180 million. In July 2018, the company signed an agreement with Rengy Development (Kyiv) on the joint construction of a solar power plant in Mykolaiv region with a capacity of 47 MW for EUR 52 million.
At the beginning of 2019, Scatec Solar also commenced construction of a Kamianka solar power plant in Cherkasy region with a capacity of 30 MW. The cost of the project, which is scheduled for completion in the fourth quarter of this year, is EUR 35 million.
The European Bank for Reconstruction and Development (EBRD) finances these projects – traditionally it provided for financing of 70% of the project cost.
The investment of the Norwegian company Scatec Solar in the construction of a solar power plant with a capacity of 150 MW in Mykolaiv region will amount to EUR180 million. Framework agreements for the participation of Norwegian developers in the construction of solar and wind power plants in Ukraine were signed during the Norwegian-Ukrainian Business Forum in Oslo on January 28.
Scatec Solar during the forum signed an agreement on the purchase of the relevant project with the Ukrainian company SM Invest & Construction.
The Dutch company SM Invest & Construction B.V., which is owned by Ukrainian citizen Roman Sotsky, owns Progresova Solar B.V. LLC and a number of other companies in Mykolaiv region. Sotsky and Oleh Mozgovy signed the memorandum on behalf of the Ukrainian side.
Norsk Solar, in turn, during the Oslo forum, signed a memorandum on the construction of a solar power station in Kyiv region for EUR9.2 million with Pro-Energy LLC, owned by Ruslan Delidon and Dmytro Osypov.
During the forum, a memorandum on the participation of the Norwegian company NBT in the installation of 742 MW wind power stations in Zaporizhia region was also signed. The project is designed until 2022 and is estimated at EUR1 billion.