Power Capital secures €240m to develop solar farms in Ireland

16 Jan 2023

Image: © Soonthorn/Stock.adobe.com

The Dublin-based company aims to have 1.2GW of solar energy operational in Ireland by 2025.

Power Capital Renewable Energy (PCRE) has secured up to €240m in equity financing to construct solar assets in Ireland and expand internationally.

The equity facility includes a consortium of lenders managed by Eiffel Investment Group, including Belgian insurance company Ethias and the European Investment Bank.

The funding will support PCRE’s construction of 1.2GW in solar energy assets to be operational in Ireland by 2025.

The equity facility has an initial tranche of €100m. PCRE said part of this €100m will be used to build assets benefitting from signed power purchase agreements with Microsoft and another undisclosed tech company.

The rest of this €100m will go toward assets that have been awarded tariffs in the Irish Renewable Electricity Support Scheme 2.

A further €100m may be made available through an additional tranche to build more assets in PCRE’s pipeline, while up to €40m may be made available for international expansion.

Minister for the Environment, Climate and Communications Eamon Ryan, TD, said this European support is a “vote of confidence” for Irish renewables.

“It will enable solar electricity to replace fossil fuel usage to power Ireland on sunny days and contribute to our target of up to 5GW of solar energy by 2025,” Ryan said.

The Dublin-based company was acquired by Omnes Capital in 2020, who have repositioned PCRE to become an independent power producer and expand overseas.

PCRE’s co-founders and co-CEOs Justin Brown and Peter Duff said the investment will help the company “rapidly expand our construction roll out”.

“It is fantastic to attract a club of such significant investors into the Irish solar sector,” Brown and Duff said. “We have already commenced construction and expect 230MW to be completed by late this year across counties Cork, Wexford, Louth and Meath.”

In 2021, PCRE acquired a majority interest in NovaUCD start-up Terra Solar and its 400MW portfolio.

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Leigh Mc Gowran is a journalist with Silicon Republic