Scatec reaches financial close and starts construction of 130 MW solar power plant in Colombia

Scatec ASA has reached financial close and started construction of a 130-MW Barzalosa solar power plant in partnership with Norfund in Nariño, Cundinamarca, Colombia. 

The project previously secured a 15-year Power Purchase Agreement (PPA) with BTG Pactual Comercializadora de Energía, a Colombian energy trading subsidiary of Banco BTG Pactual S.A. in Brazil. Under this agreement, around 85% of the plant’s expected electricity generation will be sold to BTG, while the remaining output will be traded in the Colombian electricity market. Scatec ASA holds a 65% ownership stake in the project, which has been developed in collaboration with Norfund, the latter providing the remaining equity share. The project’s total capital expenditure is estimated at USD 121 million, financed through a mix of non-recourse debt and equity, with debt accounting for roughly 70% of the financing structure. The senior lenders supporting the project include Bancolombia and Financiera de Desarrollo Nacional (FDN).

Scatec is the lead developer of the project and will be the designated Engineering, Procurement and Construction (EPC) provider with an EPC scope of approximately 70% of capex. Scatec will also provide Operations & Maintenance (O&M) and Asset Management (AM) services for the plant. The project is expected to reach Commercial Operation Date (COD) in the first half of 2027.