Netherlands-based sustainable energy company MPC Energy Solutions NV (OSE:MPCES) said on Monday that it has signed a long-term power purchase agreement (PPA) in Guatemala that will support its 65-MWp solar PV project and enable its entry into the local market.
The PPA is with Comercializadora de Energia Para el Desarrollo SA, which is a subsidiary of Guatemalan private energy, refined sugar and alcohol producer Ingenio Magdalena SA (IMSA Group). The subsidiary will off-take 135 GWh of electricity per year under the agreement.
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MPCES said that it begin developing the project immediately. The firm expects to start construction in 12 months.
“Establishing development activities in Guatemala demonstrates how MPC Energy Solutions is spearheading the drive to meet high demand for renewable energy in Central America, as countries across the region seek to decarbonize energy production,” said Fernando Zuniga, Managing Director for Latin America and the Caribbean at MPC Energy Solutions. “Signing the PPA is a testament to our capability of originating new projects and providing tailored solutions to leading private off-takers”.
The independent power producer says it has expanded its operations to eight countries in Latin America and the Caribbean region, including projects under development, construction or operation. The Guatemala project is the largest PPA for MPCES to date, the firm said.