Ljubljana to create energy community with photovoltaic systems on public buildings

The City of Ljubljana, the capital of Slovenia, established a public-private partnership for the construction of 51 photovoltaic units on public buildings. It is the biggest community solar project in the country.

Resalta and Energetika Ljubljana are entering a public-private partnership with the City of Ljubljana for the installation of 5 MW in peak solar power capacity with an estimated annual output of 5.2 GW. The Green Energy project is valued at EUR 5 million, the local authority revealed.

The companies will operate and maintain the rooftop photovoltaic units. The deal is for 51 solar power systems, of which 47 are planned to be combined into an energy community of the capital city’s public institutions. It will be the largest of its kind in Slovenia, the partners said.

City authority secures hedge against negative prices

The concession contract was signed for 17 years, after which the small solar power plants will become city property. The agreement is for a net billing mechanism, which allows surplus energy from one month to be used when production is lower than consumption, the announcement reads. The municipal government pointed out that the deal prevents the possibility of a loss when market prices turn negative. It typically occurs in the summer at times of strong and unexpected or prolonged sunshine.

The formula for the cost of production shortfalls is linked to the selected supplier’s tariff to ensure more transparency and price stability, the announcement reads. Moreover, the private consortium has accepted most of the risks related to maintenance and the supply and sale of electricity, according to the City of Ljubljana.

Companies have until end-June to complete installation

The local authority added that the project saves 2,500 tons of carbon dioxide emissions overall, which would require 95,000 average trees to absorb. The endeavor is mostly for elementary schools, kindergartens, medical centers and sports and cultural facilities.

Resalta said it is adding the project in its home city to its portfolio of 50 MW of photovoltaics under construction from Czechia to Romania. It is working under an energy service company (ESCO) model, which was initially applied in the energy efficiency and public lighting sectors, but it is also becoming a standard for photovoltaics. Resalta is also part of an energy renovation partnership with the city.

The companies are obligated to commission all the facilities by mid-2024.