Scatec Solar reaches financial close for another 54 MW in Ukraine

Source: press release, 8 July 2019

With the Boguslav project, Scatec Solar has 336 MW under construction and 69 MW of project backlog in Ukraine
With the Boguslav project, Scatec Solar has 336 MW under construction and 69 MW of project backlog in Ukraine (photo: Scatec)

Scatec Solar and partners have closed financing for the 54 MW Boguslav project with a total investment of EUR 54 million.

FMO, the Dutch development bank, Green for Growth Fund (under FMO’s B Facility) and GIEK (providing an unfunded credit guarantee) have signed credit agreements for the non-recourse debt financing of the Boguslav project. The credit facilities amount to EUR 38 million and covers up to 70% of the total project costs. The financing has been coordinated by FMO.

“We are proud to complete financing for our fifth solar power project in Ukraine. This is another confirmation of Scatec Solar’s strong foothold in the country where we together with our partners continue to support the growth of renewable energy. We are very appreciative of our relationship with this group of international financiers, who provide long term debt funding for the Boguslav project, says Raymond Carlsen, CEO of Scatec Solar.

Scatec Solar will be the lead equity investor and is in the process of securing additional equity partners. The company will also be the Engineering, Procurement and Construction (EPC) provider and provide Operation & Maintenance as well as Asset Management services to the power plants. Construction has started with expected commercial operation in first half of 2020.

The project will be realised under Ukraine’s 10-year Feed-in-Tariff scheme and is expected to deliver about 61 GWh per year. The Boguslav plant located in the Kyiv region will be providing clean energy for up to 27,000 households and contribute to avoid about 36,600 tonnes of carbon emissions per annum. Public land will be leased for an extended time-period and the solar power plants are expected to deliver power also beyond the Feed-in-Tariff period.

With this project Scatec Solar has 336 MW under construction and 69 MW of project backlog in Ukraine. Globally, Scatec Solar has 844 MW in operation and 1,070 MW under construction, and a project backlog and pipeline of 4.6 GW.