Photon Energy, a solar project developer, secured €21.9 million (~$23.46 million) in non-recourse project refinancing from Austrian Raiffeisen Bank International (RBI) for 31.5 MW of solar projects in Romania.
The portfolio consists of eight solar projects located in Șiria (5.7 MWp), Aiud (4.7 MWp), Teius (4.7 MWp), Calafat (6.1 MWp), Săhăteni (7.1 MWp) and Făget (3.2 MWp). On 23 February 2023, the first power plant, located in Șiria, was commissioned, becoming Romania’s first utility-scale PV power plant commissioned since 2014. The remaining power plants will be commissioned by the end of Q2 2023.
The company delivered the engineering, procurement, and construction services for the projects through its subsidiary Photon Energy Engineering RO, which will also provide long-term monitoring and operations and maintenance services to the projects, with production forecasting services provided by the Group’s subsidiary Lerta Power Poland.
The company started constructing solar projects in 2022. All eight projects use bi-facial monocrystalline PV modules mounted on single-axis trackers with a DC/AC overbuild ratio of 1.28 to 1.34. The power produced by the projects will be sold via OPCOM, the Romanian electricity and gas market operator, at market prices.
“The signing of the financing agreement confirms that our integrated business model based on the ability to develop, engineer, construct, finance, and operate PV installations, as well as monetize the generated electricity, has been successfully deployed in the Romanian market. Our decision last year to commit to the construction of PV power plants with a total capacity of 31.5 MWp and sell electricity into the market represents strong confidence in the Romanian energy sector, as does the non-recourse project financing for these power plants provided by RBI. They are also proof that a private sector market-based solution to the significant investment needs and plans for the energy transition in Romania is viable and available. From this point forward, it is up to the Romanian government and regulators to maintain stability and, where necessary, improve the framework for renewable energy investments to allow a renewable Garden of Eden to grow around the first blossoming flowers planted by Photon Energy and watered by Raiffeisen Bank International”, commented Georg Hotar, CEO of Photon Energy Group.
According to Mercom Annual and Q4 2022 Solar Funding and M&A report, large-scale project funding in 2022 came to $32.1 billion in 179 project funding deals, compared to $18.7 billion in 185 projects in 2021.