Capital Stage, a Hamburg-based solar and wind park operator announced this week a partnership with the Ireland Strategic Investment Fund (ISIF) to co-invest in the Power Capital (PC) portfolio, consisting of more than 20 parks with a total generating capacity of 140 megawatts (MW). It marks the first time that ISIF has committed to financing solar park developments in the country.
The project involves developing more than 20 new solar parks primarily along the east and southwest coasts, from Louth to West Cork. The individual parks will range in size between 5 MW and 25 MW. Planning permission was secured on 110 MW by the end of 2017, with the remaining sites expected to secure permission in the first quarter of 2018.
The Irish Government has committed to generating some 40 per cent of its electricity from renewable energy sources by 2020. A new public support scheme for renewable energy sources to reach this target was announced in September. A KPMG report on the potential benefits of solar energy in Ireland concluded that the industry could reasonably deploy over 3,750 MW from now to 2030.
Power Capital was co-founded by Peter Duff and Justin Brown in 2011. Speaking today, Peter Duff said:
“Today marks a significant step forward in the lifetime of this ambitious and exciting project. It rubberstamps a major commitment from ISIF and from Capital Stage, whose input and investment will help us progress this high-quality pipeline of solar parks along Ireland’s east and southwest coasts. Their commitment to this project is not just a vote of confidence in Power Capital, but also in the solar market in Ireland generally, which is currently on an upward trajectory”.
Dierk Paskert, CEO of Capital Stage AG, said:
“The Irish renewable energy market offers significant opportunities. The partnership announced today positions us perfectly to participate in the positive development of that market. Capital Stage is a long-term investor in renewable energy, thinking in decades rather than in years. Multinational and local corporates with growing demand for green energy will be served by the partnership, be it directly through power purchase agreements or indirectly via the regulated market.”
Paul Saunders, Head of Innovation and Special Investments of ISIF, said:
“ISIF is delighted to be partnering with an experienced renewable energy investor such as Capital Stage to support the development of the nascent Irish solar energy sector. This partnership supports Ireland’s continued transition to a low carbon economy against a backdrop of Ireland possessing a solar resource similar to that in southern UK and northern Germany where solar energyhas delivered steady returns for institutional investors. We look forward to working with Capital Stage and Power Capital to deliver similar success in the Irish market over time.”
Source: Press Release by Capital Stage. Image Credit: Giuseppe Milo via Flick (CC BY-NC-SA 2.0)