Irish renewable energy company Elgin Energy has sold a portion of its solar power assets in Britain in a multi-million pound deal to Scottish Power Renewables, a subsidiary of global energy giant Iberdrola.
The move will significantly enhance Elgin’s financial strength and enable it to further develop remaining solar projects it already owns in Ireland, Britain, and Australia.
The value of the deal has not been disclosed.
However, the transaction ranks as the highest value sale involving solar energy assets in Britain.
Elgin has agreed to sell a 519-megawatt portfolio of solar projects and 70mw of co-located energy storage capacity to Scottish Power.
The latter battery solution is at an advanced stage of development and all projects are expected to be operational by 2025.
It said the projects will supply zero carbon electricity to more than 143,000 homes in Britain and will generate low cost and low carbon power.
The transaction will see Spain’s Iberdrola become a leading solar energy player in Britain
It said developing the portfolio will cost around £500m (€600m).
Elgin still has a massive 5-gigawatt project pipeline, which it said it will continue to develop and deliver on. It includes projects at various stages of development.
Most of Elgin’s remaining portfolio of projects are located in Ireland and Britain. It secured financing, last year, to develop 1.36gw of solar projects and in 2020 won two solar power contracts in Ireland’s first solar energy provision auction.
Iberdrola currently has three Irish offshore wind projects planned, through a joint venture with Cork firm DP Energy, which will generate enough clean electricity for 2.6m homes.