Scatec Solar owns a growing portfolio of solar power plants where the electricity produced is sold under 20 years power purchase agreements or Feed-In-Tariff schemes. The portfolio consists of solar power plants with a combined capacity of 519 MW in operation.
The segment currently consists of four fully owned solar power plants with a combined capacity of 20 MW in the Czech Republic, the 75 MW Kalkbult plant, the 40 MW Linde plant, the 75 MW Dreunberg plant (all in South Africa and 39% owned by Scatec Solar), the ASYV (8.5 MW) plant in Rwanda, the Agua Fria (60 MW) plant in Honduras and the 43 MW portfolio in Jordan.
Scatec Solar maintains operational control but brings in co-investors when appropirate.
A solar power plant generates stable long term cash flows based on predictable power production levels and pre-defined prices in power purchase agreements or FiT schemes. Upside can be captured through overproduction, refinancing, sales of carbon credits and residual value beyond the normal term of the off-take agreements.
Each of the power plants in production or under construction are owned by separate project companies, a structure that offers isolation of operational and financial risks related to each individual plant. The projects are financed with non-recourse debt.