Greencoat Renewables enters into an agreement with tech firm following purchase of solar farm 

Paul O'Donnell, partner at Schroders Greencoat, said “as the largest operator of wind assets in Ireland, we remain focused on delivering purchasing power agreements” with large counterparties.

Greencoat Renewables has purchased a Meath-based solar farm from developer Statkraft and entered into a power purchase agreement with a tech firm to ensure long term cashflow at the site.

The name of tech firm has not yet been disclosed, but Greencoat Renewables said it is “one of the world’s leading technology companies.” Greencoat Renewables acquired a 50% stake in the in the 80.5 megawatt peak (MWp) farm, a unit of measurement for power from solar or wind where the output may vary according to the strength of sunlight or wind speed.

The deal was completed through funds managed by the investment manager, Schroders Greencoat, who have acquired the remaining 50% stake.

Paul O'Donnell, partner at Schroders Greencoat, said “as the largest operator of wind assets in Ireland, we remain focused on delivering purchasing power agreements” with large counterparties.

The company said the long-term agreement relating to 100% of production of the solar farm underpins the role played by renewables in the in energy consumption of the technology sector.

Big Tech has faced scrutiny in recent years for its gluttonous consumption of energy through data centres, creating more greenhouse gas emissions and subsequently further fuelling the climate crisis.

In response, Big Tech has shifted its focus to using renewable energy to power operations which has benefitted green energy firms in Ireland but may be creating an environment where households have less opportunity to access power from renewable sources.

However, some analysts have said Ireland has become over reliant on multinationals, including Big Tech, for corporation tax receipts which has often padded government budgets. This has likely contributed to an increase in deals between renewable energy firms and tech companies.

Elsewhere, utility company Energia entered into a corporate power purchase agreement with Microsoft for for an onshore wind farm in Monaghan. The new 49 megawatt (MW) wind farm consists of eight wind turbines supplied by GE Renewable Energy.

Meanwhile, a leading research group estimated Ireland’s ambitious goal of generating 80% of their electricity from renewable sources by the end of this decade, will be delayed until at least 2032.

Forecasts from Cornwall Insight estimated that by 2030 only 70% of the power grid will be using renewable sources, with the majority of the remaining electricity generated by gas plants.

Cornwall Insight echoed concerns from a separate research group, Aurora, that these issues have become such significant barriers bidders in the State’s Renewable Electricity Support Scheme (RESS) auctions.

The main obstacle to this goal remains delays in planning and a shortage of grid connections, said Cornwall Insight.