Scatec Solar secures EUR38m loan financing for 54 MW Boguslav solar project

Scatec Solar and partners have closed financing for the 54 MW Boguslav project with a total investment of EUR54 million (US$60.51 million).

FMO, the Dutch development bank, Green for Growth Fund (under FMO’s B Facility) and GIEK (providing an unfunded credit guarantee) have signed credit agreements for the non-recourse debt financing of the Boguslav project. The credit facilities amount to EUR38 million (US$42.6 million) and cover up to 70% of the total project costs. The financing has been coordinated by FMO.

Scatec Solar will be the lead equity investor and is in the process of securing additional equity partners. The company will also be the Engineering, Procurement, and Construction (EPC) provider and provide Operation & Maintenance as well as Asset Management services to the power plants. Construction has started with expected commercial operation in the first half of 2020.

The project will be realized under Ukraine’s 10-year Feed-in-Tariff scheme and is expected to deliver about 61 GWh per year. The Boguslav plant located in the Kyiv region will be providing clean energy for up to 27,000 households and contribute to avoiding about 36,600 tonnes of carbon emissions per annum. Public land will be leased for an extended time period and the solar power plants are expected to deliver power also beyond the Feed-in-tariff period.