Sustainable Infrastructure
The special renewable energy fund KGAL ESPF 4 has commissioned the "Tuscania" solar park in the Lazio region as planned. With a total capacity of 148 megawatts (MW), "Tuscania" is the largest privately financed solar park in Italy. The project ideally demonstrates KGAL's expertise in successfully advancing renewable energy projects from development to construction and grid connection to electricity marketing.
The "Tuscania" solar park north of Rome will generate around 240 gigawatt hours of electricity per year and thus avoid the emission of around 100,000 tonnes of CO2 per year. The fund investors will receive attractive, predictable cash flows via a fixed power supply agreement (PPA) with the Italian utility Edison for a period of ten years from commissioning. Financing partners on the debt side are Natixis and ING.
In total, more than 272,000 solar modules from the manufacturer JA Solar, each with an output of 545-550 watts, were installed on an area equivalent to more than 250 football pitches.
Before reaching this important milestone, the KGAL team led by project managers Katrin Werner and Patrick Villmann had to overcome a number of obstacles. "A project of this magnitude always brings great challenges. The biggest of these is the precise alignment between the financing and the PPA, while at the same time the construction and connection must proceed according to plan," explains Patrick Villmann, Senior Transaction Manager. Katrin Werner, Head of Project Implementation, adds: "A well-coordinated project team and close cooperation with all parties involved are crucial. We are all the more pleased that we have successfully completed the construction and connection phase and that this impressive solar park can now make a contribution to the sustainable energy supply in Italy."
The "Tuscania" solar park is a prime example of the core-plus strategy of KGAL ESPF 4. Early involvement during the development phase enables higher value creation for institutional investors.
The KGAL ESPF 4 was launched in 2017 and has invested 1.3 billion euros in wind power, photovoltaics and hydropower across Europe. The fund aims to achieve a double-digit return (IRR) with continuous distributions at the same time.
