The European Investment Bank (EIB) has decided to invest €43.5m in Cabrera Solar Project in Andalusia, Spain. The investment is backed by the European Fund for Strategic Investments.
The Cabrera Solar Project will see the construction and operation of four 50MW-peak photovoltaic solar plants in Alcalá de Guadaira, Seville.
During the implementation phase, the project will create around 350 new employment opportunities in the region.
EIB Spain vice-president Emma Navarro said: “As the EU climate bank, we are committed to investing in green recovery in Europe, building sustainable infrastructure while spurring the creation of green jobs.
“Spain is a market with huge potential for renewable energy and the EU bank is proud to support the investments needed to meet the country’s renewable energy targets.
“Despite the economic challenges caused by Covid-19, we should not forget climate change still represents one of the biggest threats to our future.”
Cabrera Solar project is sponsored by independent power producer Encavis and developed by global solar power company Solarcentury.
Once operational, the four solar power facilities will generate enough clean energy to supply nearly 145,000 households. This will offset the equivalent of 300 metric kilotons of carbon emissions annually.
The project will help meet the Spanish Government’s objective to generate 20% of all Spain’s energy needs from renewable sources by the end of this year.
The solar facility also forms part the European Commission’s target of ensuring that at least 32% of Europe’s final energy consumption comes from renewables by 2030.
European Commissioner for the Economy Paolo Gentiloni said: “With the EU’s financial support, almost 145,000 Spanish households stand to benefit from clean energy, drastically reducing the CO₂ emissions of the Andalusia region.
“The project will also provide the construction and engineering sector with 350 jobs in the short term. With every investment of this kind, we take another step closer to our goal of making the European Union climate neutral by 2050.”
The power generated by the project will supply online retailer Amazon under a power purchase agreement.
Last month, EIB agreed to provide a loan to the Poland-based company Energy Solar Projekty for the construction and operation of 66 small-scale independent photovoltaic plants.