FRV will build three photovoltaic plants in Extremadura, Spain, with financing from BBVA and Natixis
- FRV will build the San Serván 3, 4 and 5 solar plants, with a total capacity of 150 megawatts (MW), in the municipality of Mérida, Extremadura.
- The total amount of the loan was 89 million euros under the project finance modality, divided equally (44.5 million euros) between BBVA and Natixis.
- The plants will have capacity to supply around 108,000 homes with clean energy and avoid the emission of 223,000 tons of carbon dioxide (CO2), per year.
Madrid, December 16 2021
Fotowatio Renewable Ventures, part of Abdul Latif Jameel Energy and a world leader in the development of sustainable energy solutions, has reached a financing agreement with BBVA and Natixis for the construction of the San Serván 3, 4 and 5 solar plants, with a total capacity of 150 megawatts (MW), to be built in the municipality of Mérida, Extremadura. The total amount of the loan was 89 million euros under the project finance modality, divided equally (44.5 million euros) between BBVA and Natixis.
Once the plants are operational, revenues from the project will be secured by a long-term Power Purchase Agreement (PPA).
The San Serván complex will produce around 300 gigawatt per hour (GWh) of clean energy per year, which is enough to supply around 108,000 homes and avoid the emission of 223,000 tons of carbon dioxide (CO2). All the projects developed by FRV have the Green Financing Framework qualification, which includes: green bonds, project finance, green loans and any other financial tool applicable to projects, assets or groups of them.
The plants will be fully operational as of the first quarter of 2023, which will contribute to the Long Term Decarbonization Strategy (LTS) promoted by the Spanish government, which sets the path to achieve Greenhouse Gas (GHG) emissions neutrality in Spain by 2050.
The agreement also includes a new ‘FRV Young Talented Leaders‘ scholarship, in collaboration with the IE Foundation, thanks to which a student from Extremadura will have the opportunity to study at IE Business School Madrid. This educational initiative aims to promote positive social change by supporting the progress of education in the region.
BBVA and FRV, sustainable partners
The financing agreement between BBVA and Fotowatio Renewables Ventures (FRV) is part of the strategy that both companies have in place to support the transition to a more sustainable world. As a result of the close relationship between the two parties for more than a decade, a €60 million green line of guarantees was subscribed in 2019.
FRV is currently developing a broad portfolio of projects in Spain, with a pipeline of 3 GW spread over four Spanish regions, focused on Andalusia and, mainly, Extremadura, where it has managed to create one of the largest operational portfolios of photovoltaic energy.