Friday, April 19, 2024

Repsol and Ignis will invest €261 million to build solar power plants in Andalusia

April 8, 2021
Repsol and Ignis will invest €261 million to build solar power plants in Andalusia

Repsol Renovables and Ignis Energía will invest a total of 261 million euros in the development of 10 photovoltaic power stations. These projects, in the provinces of Cádiz and Seville, will generate 1,210 jobs during construction and development. The Government of Andalusia has declared these two projects of strategic interest for the region.

Repsol Renovables’ Sigma project, which will involve an estimated investment of 107.2 million euros, involves the installation of five photovoltaic solar plants with a total capacity of 204 megawatts (MW) in Jerez. This infrastructure will be installed on a surface area of 362 hectares and will be completed with the corresponding evacuation infrastructure. This project will create 774 jobs during the 12-month construction phase, and in the operation and maintenance phase, which is expected to last 40 years.

Ignis Energía will be located in the Seville municipality of Guillena and plans to install another five photovoltaic solar plants with a total potential of 210.30 MW and an estimated budget of 154 million euros.

Photovoltaic energy is a clean, renewable source that uses solar radiation to produce electricity. Currently, this generation technology is already the most efficient per MW installed and is one of the technologies that has evolved the most in recent years from a technological and cost point of view, with a significant drop in the price of panels. Also, its implementation requires large areas of land and thus offers alternative financing options for landowners.

The growing need for electrification of the economy due to home automation, electric vehicles, and robotisation, generate good medium and long-term growth prospects for this renewable sector. Photovoltaic energy is attracting strong investment interest in Spain as a whole, making it the most competitive renewable energy source. Andalusia is one of the main destinations for this type of business project, as it has a high number of hours of sunshine, more than 3,000 per year in some areas, and therefore has outstanding potential for its use.

The regional government’s declaration of strategic interest means that it will give priority to the administrative processing of the permits and authorisations necessary for the implementation of relevant business projects, to ensure that the investment does not lose its opportunity to develop in Andalusia and does not relocate to other areas. Furthermore, the projects will help reduce Andalusia’s dependence on foreign and fossil fuels, favouring energy diversification and efficiency, as well as the transition towards a green economy, in which renewable sources acquire greater weight.