June 30, 2014 - Gestamp Solar today announced its first photovoltaic project in Japan. The utility-scale project, located in Daigo town, will have an installed capacity of 31.6MW over a total area of 40 hectares, and is situated on a former golf course.
Construction is expected to be completed within a one-year period, with the target of commencing energy production by April 2015, supplying clean energy to Tokyo Electric Power Company (TEPCO) and powering more than 10,000 homes in the area.
For this project, Gestamp Solar entered into an agreement with Deutsche Bank AG, Tokyo Branch on June 26, 2014 to secure access to a non-recourse construction loan facility based on international project finance standards of 11.1 billion yen (approx US$110m). The parties expect to enter into similar financing arrangements for future Gestamp Solar projects in Japan.
Jorge Barredo, the CEO of Gestamp Solar, said, "This is an important milestone for Gestamp Solar, as the project is one of the largest utility-scale solar power plants to be developed by a foreign company in Japan. It is the largest single solar project to secure non-recourse financing in Japan."
Mr. Barredo added, "We are proud to announce this development and example of successful collaboration between our countries, amid this year's historic celebration of 400 years of friendship between Japan and Spain. The support of Daigo Town, Ibaraki prefecture, METI, TEPCO and all the other institutions involved in the project's development has been key to this success. Gestamp Solar is delighted to bring to Japan our global experience to help the country successfully fulfill its long-term commitment to the renewable energy sector."