Acciona SA

06/03/2019 | Press release | Distributed by Public on 06/03/2019 01:32

ACCIONA starts building two new photovoltaic plants in Ukraine under its ownership with a €30.6 million investment

ACCIONA has signed an agreement with UDP Renewables (UDPR) to build two photovoltaic plants in the region of Odessa (south-western Ukraine) with an overall capacity of 43.7 megawatts peak (MWp) - 33.3 MW rated capacity - and an estimated total investment of 30.6 million euros. According to the terms of the agreement, ACCIONA acquires 75% of the projects developed by the Ukranian company UDPR. Construction works will start this week, with the aim of the plants being installed before the end of this year.

Through this operation, ACCIONA strengthens its position in the renewables sector in Ukraine, where it has completed the 57.2 MWp (44 MW rated power) Dymerka 2-3-4 photovoltaic complex in the region of Kiev. This complex is 100% owned by ACCIONA.

'We are very pleased to continue contributing to the development of renewable energies and the sustainability of the energy system of Ukraine, a country with interesting opportunities for the sector', explains Joaquín Castillo, ACCIONA Director of Energy Business Development.

'We are delighted to strengthen our partnership with one of the most experienced global industry player as ACCIONA. And we hope that such a cooperation will accelerate the remarkable progress of Ukrainian renewable energy market', noticed Sergiy Yevtushenko, Managing Partner at UDP Renewables.

The two plants will produce around 55 gigawatt-hours (GWh) per year of emission-free energy, equivalent to the consumption of over 23,000 Ukrainian homes and avoiding the emission of around 53,000 tonnes of CO2 to the atmosphere per year from coal-fired power plants.

The projects

The larger of the two plants under the agreement is Gudzovka, with a peak capacity of 26 MWp (19.8 MW rated), while the one at Arcyz will have 17.7 MWp (13.5 MW rated). Both will be equipped with polycrystalline silicon panels mounted on fixed structures.

The power generated will be sent to the national grid and sold to the Ukrainian utility company Energorynok State Enterprise under a PPA (power purchase agreement) for the period until 31 December 2029. After that date, ACCIONA will operate under the price system established in the Ukrainian market.

Expanding

Ukraine, which has had an Association Agreement with the European Union since 2014, has set a target of 35% electricity production from renewable energy sources by 2035. Still incipient, the renewable generation market in the country tripled in installed capacity last year to pass the figure of 2,100 MW, most of its photovoltaic (65%) and wind (25%), according to official figures. This expansion is the result of the development policy driven by the authorities with the aim of diversifying the country's electric power mix, which depends on coal and nuclear power to 80%.

ACCIONA expects to close the current financial year with around 1,200 MWp of total photovoltaic capacity in seven countries: Mexico, Chile, South Africa, Spain, Portugal, Egypt and Ukraine, which will strengthen the company's geographical and technological approach, with the focus on wind and photovoltaic technologies.