RWE has made its first major move into the UK solar energy after snapping up one of the country’s largest projects.
The German firm’s supply and trading arm has bought the 129-acre Kencot Hill solar farm in Oxfordshire, which is expected to come online later this year.
The deal will see RWE sell the farm to investment firm Foresight once it is completed, with RWE overseeing the project management of the new park.
The energy firm will provide the construction finance to ensure the project goes ahead, before its sale – the first move by RWE into such a field in the UK.
The company said it was looking to try out the finance model on other projects if the Kencot Hill scheme proved successful.
“Utilising our project development, procurement and structuring skills, including expertise from RWE Innogy, we will deliver to Foresight a substantial, fully commissioned and ROC accredited solar PV park,” said RWE supply chief executive Stefan Judish.
“RWE aims in future to repeat this structure, attracting additional investors and thus helping the UK and other European governments to deliver their CO2 reduction and renewables targets.”
The solar farm, which will generate enough energy to support around 10,000 homes, is expected to produce 6million kWh in its first year.
Solar specialists Conergy UK will oversee engineering and procurement on the project ahead of its completion in the summer.
