Germany-based EnBW Energie Baden-Württemberg has signed a long-term power purchase agreement (PPA) for a solar park planned by Energiekontor.

The PPA between EnBW and Energiekontor is reported to be first of its kind in Germany, which enables Energiekontor to build and operate the photovoltaic (PV) system without subsidies under the German Renewable Energy Sources Act.

Under the PPA, EnBW will purchase 100% of electricity at a fixed price for a period of 15 years.

Located east of Rostock, the solar park will be operated by Energiekontor. It will have an installed capacity of 85MW for an output of around 88GWh of electricity per annum, which is enough to supply power annually to some 25,000 households.

“We pursue the vision of one day being able to meet 100% of our energy needs from renewables.”

Energiekontor will build the project on 120ha of farmland near the city of Marlow and the community of Dettmannsdorf. The solar park is expected to become operational by the end of next year.

Energiekontor CEO Peter Szabo said: “We pursue the vision of one day being able to meet 100% of our energy needs from renewables. As pioneers in our industry, we aim to be among the first to build windfarms and solar parks with lower generating costs than the conventional energy sector.

“As well as far superior environmental credentials, which have always been in their favour, renewable energies now also score in terms of better cost-effectiveness.

“Energiekontor has already built the first subsidy-free windfarm in the UK, and we now aim to lead as pioneers in Germany in building the first large solar park outside of the Renewable Energy Sources Act regime.”

The companies expect the wind park to generate 1.3TWh of electricity over the agreed 15-year term.