Spain’s Ministry of Energy, Tourism and the Digital Agenda has approved the Talasol Solar PV project located in Talaván, Cáceres, in the southern region of Extremadura.
The ministry has also authorized the construction of a 400/30 kV substation and a23.7 km-long 400/30 kV high-voltage line for the connection of the facility to the local grid.
According to the Delegation of the Spanish government in Extremadura, the €331.8 million project has also obtained the declaration of public interest, which represents the specific recognition that each planned line or substation is designed to meet objectives of general interest and involves the need to occupy land, imposes the right of easement of electricity infrastructure.
Israel-based solar company Ellomay Capital agreed to acquire Talasol Solar, a special purpose vehicle owning the project, in early May. At the time, the company said the agreement was subject to several customary conditions, including receipt of certain regulatory approvals and entry into certain material agreements.
The project, which has already received environmental approval as well as other administrative permits, has now to get final administrative approval from the National State Administration.
Ellomay previously said that, depending on the EPC agreement, the capex including development costs and interest is expected to be approximately €225-255 million (approximately $245 million – $278 million). Currently, however, the company has not secured the financing for the project, although it hopes to raise the required funds from “from banks, suppliers, equity or debt financings and potential partners.”
Several projects such as the Talaván projects were announced across several southern regions over the past few years. All of these projects were originally conceived to sell power to the local grid at market prices, but these could now eventually compete in Spain’s upcoming renewable energy auction, which will be held on July 18.