The acquisition will give Hydro Rein, Hydro’s dedicated company for renewables development, 100 percent ownership of the projects. Through the agreement, GreenGo Energy will be responsible for developing the projects in the portfolio, while Hydro Rein will take the lead on contractual setup and all services related to the projects, including structuring, route to market, construction and operations.
The projects have a total estimated peak capacity of total 118 MW. The estimated total annual production is 143 GWh. Site assessments are currently ongoing and interconnection requests to the grid company for the projects have been filed.
“We are proud to announce our first solar investment in Sweden together with our partner GreenGo Energy. This is another step towards diversifying Hydro Rein’s Nordic portfolio, both geographically and technologically. We already have a significant pipeline of wind projects in Sweden. With new green industrial developments planned in the region, we see great potential for combining wind and solar to decarbonize Swedish industry,” says Olivier Girardot, Head of Hydro Rein.
“This marks our first partnership agreement in the Swedish market, where we are rapidly expanding our footprint in an effort to support the Swedish renewable energy transition. With Hydro’s financial strength, experience in renewable investments and strong industrial presence in the Nordic power market, we have a great and scalable platform together,” says Karsten Nielsen, CEO of GreenGo Energy.
The Swedish solar market is expected to grow rapidly in the coming years and there is a significant interest for solar project development. In 2020, one percent of the electricity generation came from solar power. Since then, more and more solar cells have been installed in Sweden. Between 2020 and 2021, the number of grid connected photovoltaic (PV) systems increased by 46 percent. Sweden has set out to meet 100 percent of its electricity needs from renewable sources by 2040. Hydro Rein considers solar projects in the Nordic region a significant growth market, and the complimentary nature of wind and solar production will provide positive portfolio effects for Hydro Rein.
Hydro Rein and GreenGo Energy have a common ambition to continue joint project developments. Hydro Rein and GreenGo Energy have significant growth ambitions in Sweden. Through this partnership, the partners can leverage complementary capabilities and strong presence in the Nordic renewables market. This is Hydro Rein’s second partnership with GreenGo Energy. In December 2022, Hydro Rein announced a joint venture with Commerz Real to develop solar projects in Denmark. GreenGo Energy is the seller of the project and will continue to develop the projects until the start of operations.
Hydro Rein is a leading provider of renewable energy solutions to industrials, fully owned by the global renewable energy and aluminium company Hydro. Hydro Rein has a diversified portfolio of 20 projects under development in core markets in the Nordics and Brazil. The company has an ambition of 3GW in construction or operation (gross) by 2026, leveraging on a unique customer offering and Hydro’s century-long track record in building industries that matter.
GreenGo Energy was founded in 2011 with the vision to accelerate conversion to renewable energy generation, by an innovative and scalable business model. GreenGo Energy’s 360 full services platform includes origination, investment structuring, development, offtake, EPC management and asset management services, fully tailored and bespoke to our client’s needs and investment profile.
GreenGo Energy has 19GW of solar, wind and P2X projects in various stages of development and construction in seven U.S. states and in Northern Europe, of which more than 4GW has been contracted through partnership agreements with tier 1 investors in the renewable space.
Published: May 9, 2023
