Gamesa to sell 28-MW Spanish wind park to China Huadian
Sep 5, 2014 - Spanish wind turbine maker Gamesa (BME:GAM) said yesterday it will sell its 28-MW Barchin wind farm in Cuenca, central Spain, to electric utility China Huadian Corporation.
The value of the deal was not revealed. Gamesa noted that, in addition to providing operation and maintenance services, it will also handle the commercial and administrative management of the wind farm.
According to the vendor, this is one of the first wind farms developed in Spain that will be sold as a result of the new energy reforms in the country. The transaction is part of the company's 2014 disposal plan, which calls for select asset sales that contribute to the company’s cash flow generation and debt reduction targets.
Early in June 2014, Spain passed a decree that reduced subsidies for new and existing renewable power plants retroactively as of July 2013. The bill envisages a rate of return for clean energy plants of 7.5% over their lives. These measures are part of a bigger plan that aims to cure an EUR-30-billion (USD 38.9bn) electricity tariff deficit.