Iberdrola and the Norwegian sovereign wealth fund, managed by Norges Bank Investment Management, are to double their clean energy investment alliance, adding 1300 MW of additional renewable energy capacity to unlock more than €2 billion joint investment over the next three years. As of today, 674 MW of wind and solar has been added to the alliance, with the rest to be included in the coming months, to reach a total capacity of 2600 MW.
The 674 MW of new renewable energy capacity is in the development stage – 40% wind and 60% solar PV – across the Iberian Peninsula. Final negotiations on exclusivity are also taking place on including an additional 643.5 MW of operational and under development solar photovoltaic (PV) capacity to the alliance.
Both companies have joined forces to accelerate decarbonisation in the Iberian Peninsula, and the agreement could be extended in the future to other countries. Iberdrola will have a majority stake of 51% in the assets.
"We have expanded our clean energy alliance to advance the development of renewables in the Iberian Peninsula in a faster, more consolidated and competitive way. Innovative agreements like this allow us to combine our knowledge in clean energy and our financial strength with those of Norges Bank Investment Management, a truly progressive partner, building on our alliance that has been growing for many years," said Iberdrola’s Executive Chairman, Ignacio Galán.
“We are really pleased to announce this new important deal with our great partner Iberdrola. It expands our footprint in Spain and is also our first step into Portugal. We look forward to adding more attractive renewable infrastructure projects going forward,” added Norges Bank Investment Management CEO, Nicolai Tangen.
Under the terms of the agreement, the valuation of 100% of the 674 MW now incorporated amounts to €627 million, excluding extra margins for asset management, provision of operation and maintenance services, as well as other corporate services.
This renewable portfolio will have the capacity to supply energy to more than 400 000 homes each year, resulting in avoiding more than 350 000 tpy of carbon dioxide (CO2).
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