HEP Group, a solar project developer and investment firm, announced the successful completion of debt and tax equity funding for the Oregon Community Solar Portfolio, totaling 17 MW.
The portfolio comprises six solar projects that commenced commercial operation in December 2022 and is expected to produce 22,592,000 kWh of solar energy in its first year. This will power nearly 2,618 homes and avoid greenhouse emissions by 13,930 tons.
The portfolio, costing approximately $40 million in total, allowed HEP to deploy over $16 million on behalf of its ESG-conscious investors. Senior secured term debt and tax equity comprise the remainder of the capital stack. The Oregon portfolio has fully subscribed for all its projects, with residential and commercial customers signing up to participate.
“Our mission, encapsulated by our slogan ‘there is no planet B,’ is to invest in sustainable energy for a healthier environment,” stated Vivek Srinivasan, Head of Investments for the Americas. “Despite industry challenges in the past two years, the completion of the Oregon portfolio illustrates our unwavering commitment to this cause and showcases our expertise in investing, developing, and delivering sustainable energy solutions.”
According to Mercom’s Q1 2023 Solar Funding and M&A report, large-scale project funding came to $5.3 billion in 62 deals, a decrease of 46% compared to $9.8 billion in 52 deals in Q4 2022. Santander UK, an investment bank, recently provided £25 million (~$31 million) funding to South Farm Solar, a subsidiary of global energy producer and service provider Voltalia, to support its construction and operation of a 49.9 MW new solar project that will deliver more than half of the City Corporation’s electricity. South Farm is a 49.9 MW ground-mounted solar project near Spetisbury, Dorset, England. The project has been developed, constructed, operated and maintained by Voltalia.
