Israeli renewables player Ashtrom is establishing operations in Greece by signing agreements to develop a 476MW solar project pipeline in the country with a local partner. The pipeline comprises five projects valued at €335-380m. This is based on the assumption that the cost of construction per MW, including the cost of connecting the projects to the grid, is estimated at €700,000-800,000. Ashtrom Renewable Energy has also been granted a future right to take over several additional projects owned by the Greek partner at advanced stages of development.
These are expected to obtain the “substantial permits” required for construction within the upcoming year. In addition, the agreement contains a mechanism by which consideration to the development partner will be determined according to milestones set forth in the agreement and development progress, where most of the consideration will be paid at advanced development stages and after approval for connecting to the electrical grid. Yitsik Marmelshtein, CEO, Ashtrom Renewable Energy, said: “Ashtrom’s entry to the energy market in Greece corresponds with its strategy for expanding its renewable energy operations to additional countries, following our entry to the US and Poland. “We estimate that the Greek market – characterised by accelerated growth, high electricity prices and good solar radiation conditions compared to other European countries – can serve as a significant growth opportunity for Ashtrom Renewable Energy in the near future. “We intend to take further measures and develops additional renewable energy projects, thus establishing our operations in the US, Israel, Poland and Greece, where we conduct substantial projects of 1.5GW total capacity.”
Credits: renews.biz [Image: Unsplash/Jeremy Bezange]