Germany’s BayWa r.e., which has established a sizable solar PV footprint in the U.K. solar market, has confirmed the sale this week of 30 MW worth of solar farms located at three sites in England and Wales.
Greencoat Solar I LP, a newly established clean energy investment vehicle owned by Greencoat Capital, has purchased the solar installations, which together produce enough clean energy to meet the power needs of 9,600 local households.
The solar farms were connected to the U.K. grid in March this year, thus making them eligible for 1.2 ROC. Prior to sale, BayWa r.e. established long-term power purchase agreements (PPAs) for all sites with Neas Energy, thereby making each solar plant an attractive proposition for an investor such as Greencoat Solar.
BayWa r.e.’s Matthias Taft said that the company was pleased with the successful conclusion of the sale, adding: "We have enjoyed a close collaborative relationship with Greencoat for some time now, and are looking forward to continuing to do so in the future". Last year, BayWa r.e. sold a 30 MW wind farm to Greencoat UK Wind PLC, which is also managed by Greencoat Capital.
The three solar projects are located in Cornwall, southwest England, Kent, southeast England, and in South Wales. BayWa r.e. will retain technical and commercial operation duties, as it has on previous solar assets it has sold. During 2016, the German renewable developer has completed some 130 MW of solar PV capacity in the U.K., with a further 70 MW planned for 2017.
Its business model of development, management and then sale has proven fruitful in the U.K. market, but BayWa r.e. also confirmed that it is interested in now acquiring ground-mount solar PV farms under 5 MW across the U.K.