The site on the west coast of Finland, near the city of Vaasa, is set to become Low Carbon’s first operational wind farm in the country, with commercial operations expected to commence in Q4 2023.
The region’s climate and its abundant supply of natural wind is expected to deliver an impressive production capacity of approximately 100 GWh per annum, capable of powering over 29,700 homes and avoiding more than 20,900 tonnes of CO2e emissions. It will sell its power via a 10-year virtual Power Purchase Agreement (PPA) to Ecolab, a global leader in water, hygiene and infection prevention solutions and services. A route to market and balancing PPA has been entered with Axpo.
The Mörknässkogen wind farm aligns closely with Finland’s National Energy and Climate Strategy for 2030, which aims to increase the use of renewable energy to 50 per cent of energy end-consumption. It will also contribute towards Low Carbon’s ambitious target of building 20 GW of new renewable energy capacity by 2030. As Finland is already a world leader in the utilisation of renewable sources of energy, the project will become an important asset in Low Carbon’s expanding European portfolio.
“Achieving financial close on the Mörknässkogen wind project demonstrates Low Carbon’s ability to effectively direct capital into renewable energy infrastructure at scale” said John Graves, CIO of the Low Carbon Renewables Fund. “Finland is a highly sought after European renewables market, and we are proud to play a part in diversifying the country’s renewable power mix with affordable and clean wind energy.”
Ecolab Chief Sustainability Officer Emilio Tenuta added that at a time of increased scrutiny for energy use and net zero commitments, Ecolab is proud to be investing in renewable options that are good for both Ecolab’s business and the planet and that many of Ecolab’s more than 47,000 associates globally are supporting its customers on their net zero transition.
“This agreement provides a tangible example of how to move from commitment to action” said Mr Tenuta.
Financing partner for the project is the European infrastructure and energy financing specialist Kommunalkredit Austria AG, acting as Sole Mandated Lead Arranger in the 24.8 million euros senior financing facility.
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