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Green light for Spanish subsidy-free 170 MWp solar plant

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With the conclusion of a long-term Power Purchase Agreement (PPA) between the renewable energy specialist BayWa r.e. and the Norwegian energy group Statkraft, everything is now clear to progress with the swift construction of the Spanish Don Rodrigo solar plant.

The BayWa r.e. project, which will provide a total output of over 170 MWp, is located south of Seville and is one of the first solar projects of this size in Europe to be realised without any subsidies. This is made possible by a 15-year PPA that is the first of its kind in Spain. At the same time, it signals Statkraft’s entry into the Spanish market as a leading European provider of PPAs.

BayWa r.e. has already started preliminary work on the project and the plant is expected to be commissioned at the end of the year. In an area covering around 265 hectares, roughly 300 GWh of solar power will be generated every year – that’s the equivalent to the annual consumption of approximately 93,000 average Spanish households.

“Building one of the first subsidy-free solar projects of this size in Europe is a ground-breaking milestone; both for us as an international renewable energy company and also for the future of the European PV market,” explains Benedikt Ortmann, Managing Director of BayWa r.e. Solar Projects GmbH. “The fact that we can implement such a project without state funding is largely thanks to the continual improvement of system design and building costs.” Matthias Taft, Board Member of BayWa AG with responsibility for the energy business adds: “We are entering a new phase of energy generation: for the first time, renewable energy plants are able to generate cleaner power at the same or even lower price as conventional power plants. This also demonstrates the significant potential of new financing models in ever-changing market conditions. We are delighted to be making such an important contribution to the success of the European energy revolution.”

With a portfolio of 15,000 MW, the Norwegian energy group Statkraft is one of Europe’s largest providers of market access for renewable energy.

“With Power Purchase Agreements like the one for Don Rodrigo we are ensuring the long-term financing of new plants and are thus enabling further development of renewable energy across Europe,” says Hallvard Granheim, Executive Vice President Market Operations & IT at Statkraft. “Statkraft is bringing together pan-European electricity producers and companies from trade and industry, and is developing new concepts that add value for both sides. Our customers benefit from our decades of experience in supplying renewable energy at long-term predictable and competitive prices.”

About BayWa r.e. renewable energy GmbH (BayWa r.e.):

As a full subsidiary of BayWa AG, BayWa r.e. renewable energy GmbH groups together activities of the solar energy, wind energy, bioenergy and geothermal energy business units. Headquartered in Munich, BayWa r.e. is active worldwide. As a full service partner with around 1,400 employees and over 25 years of experience, BayWa r.e. provides consulting services and develops, implements and manages projects in the area of renewable energy. BayWa r.e. also covers plant operation and maintenance. Other business activities encompass photovoltaic component trade and the purchase and marketing of energy from renewable sources.

Its parent company, BayWa AG, is an international trade and services company with the core segments of agriculture, energy and building materials.

About Statkraft:

Statkraft is a leading company in hydropower internationally and is Europe’s largest generator of renewable energy. The Group produces hydropower, wind power, solar power and gas-fired power and supplies district heating. Statkraft is a global company in energy market operations. Statkraft has 3,600 employees in 16 countries.

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Felix Gmelin
Communication Manager
BayWa r.e. AG
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