Lightsource bp, a solar project developer, along with its joint-venture partner, Contact Energy, secured NZ$267 million (~$161 million) in funding for its 168 MWdc Kōwhai Park solar project located in Christchurch, New Zealand.
Westpac New Zealand, Mizuho, China Construction Bank, and Intesa Sanpaolo – IMICIB provided the funding for the project. The debt package is structured as a green financing loan, with the lenders jointly underwriting the package.
Construction of the project is scheduled to begin in late 2024, and commercial operation is expected to start in 2026. The project is expected to feature around 300,000 solar panels.
Mike Fuge, Contact Energy CEO, said, “Contact is thrilled to have confirmed an investment of our first solar farm with our JV partner Lightsource bp. The solar farm will also be our first generation asset in the Canterbury region, increasing our geographical spread across the country.”
Once operational, the Kōwhai Park solar project will produce over 275 GWh of clean electricity annually to power the annual demand of approximately 36,000 households.
CHINTEC, an engineering, procurement, and construction contractor, will undertake the construction, and Ventia will deliver all network connection infrastructure.
Adam Pegg, Managing Director, Lightsource bp APAC, said, “This project at Kōwhai Park is our first to reach this stage in New Zealand, and we are proud to have developed such strong synergies with our partners Contact and Christchurch Airport as we help progress New Zealand’s decarbonization.”
According to Mercom’s 1H and Q2 2024 Solar Funding and M&A report, large-scale project funding in 1H 2024 came to $19.9 billion in 117 deals compared to $14.9 billion in 113 deals in 1H 2023.
Last week, Birch Creek Energy, a utility-scale solar and energy storage project developer, announced the completion of financing for the 42 MW Altona Solar project in Audrain County, Missouri. The company also announced that the project is now fully operational.
