PPC Renewables awarded the construction of a 50 MW photovoltaic system in a coal region in the Peloponnese to Terna. The sale of electricity will be regulated through its first corporate power purchase agreement. The company recently made progress in vast solar power and storage projects.
The state-owned green power company in Greece will soon start the transition of the second of the country’s two coal regions to a future based on renewable energy. The Megalopolis area is home to coal mines and two thermal power plants that are due to be closed in 2023.
PPC Renewables is looking to replace the capacity with an overall 1 GW in solar power. It just chose Terna, the construction firm of GEK Terna Group, for the planning, design, civil engineering works, supply, transportation, installation and operation of two photovoltaic plants and a substation.
Contract is worth EUR 28.5 million
The contract for the units with the capacity of 39 MW and 11 MW in Megales Lakkes in the Peloponnese peninsula is worth EUR 28.5 million including value-added tax. They are scheduled to be finished by the end of next year. The solar power plants in Megalopolis will be made of bifacial panels on single-axis frames, Terna said as it announced the result of the tender.
The 39 MW section is set to become the first for PPC Renewables where it would sell output through a bilateral power purchase agreement or corporate PPA, and it won a PPA for the remainder through an auction.
PPC Renewables to add another 340 MW in Megalopolis
EnergyPress reported it would close the deal with its parent company, government-controlled Public Power Co. (PPC). Chief Executive Officer of PPC Renewables Konstantinos Mavros suggested it would soon be signed. The location of the 50 MW solar park in Megalopolis used to belong to a coal mine.
The contractors for solar power plants in Megalopolis and Ptolemaida will use bifacial solar panels
PPC Renewables obtained a producer certificate in April from regulatory body RAE for its 340 MW solar power project in the same area. It applied in December.
Mytilineos, an industrial conglomerate, inked the country’s first corporate PPA in February. It will buy electricity from Egnatia Group’s future solar park of 200 MW at EUR 33 per MWh for ten years, with an option to extend the deal for five years. The contract is scheduled to enter into force in 2023.
Expanding solar power portfolio in Western Macedonia
In the other coal region of Greece, in Western Macedonia, PPC Renewables is looking for contractors for a 65 MW photovoltaic project near Ptolemaida, also with bifacial technology. The government is trying to stop using coal by 2025 and PPC aims to develop almost 2.1 GW in solar power plant capacity in the area.
Metka, part of Mytilineos Group, was recently picked by PPC Renewables to install a 200 MW photovoltaic plant in Western Macedonia, near Kozani. The deal is worth EUR 83.7 million or just under EUR 420,000 per MW.
PPC Renewables is also betting on offshore wind and battery storage
PPC Renewables also applied with the RAE for licenses for power storage projects of almost 1 GW in Western Macedonia and Megalopolis. The batteries are planned to have a capacity of 3 GWh. The investment is valued at over EUR 500 million. The government is preparing a legal framework for the deployment of battery storage and it earmarked EUR 200 million for subsidies for next year.
RWE deal to be signed by end of summer
CEO Mavros said two weeks ago that the company is open for partnerships in the development of offshore wind farms in the Aegean Sea as it awaits legislation that would regulate the activity. He added the joint venture with German RWE should be established by the end of the summer. The two firms aim to build wind and solar power projects of a combined 2 GW.
Of note, PPC Renewables, which also uses its Greek acronym DEIAN, is set to compare the offers on June 7 in its tender for a 4.5 MW wind power project in the island of Tinos. The power plant will have five turbines and the contractor will be responsible for the design, licensing, supply, transportation, installation and commissioning of the facility worth EUR 6.3 million without VAT.