June 19 (Renewables Now) - Investment fund Sequoia Economic Infrastructure Income Fund (LON:SEQI) will back the construction of 55 MW of solar parks in Poland with a EUR-36-million (USD 41.8m) loan to ReneSola Ltd (NYSE:SOL).
The Chinese solar project developer and operator said on Monday that Sequoia has agreed to extend an existing senior debt facility for the Polish portfolio to EUR 36 million from EUR 15 million. The initial senior loan was provided by Sequoia in December 2017.
The financing will go for 55 photovoltaic (PV) projects of 1 MW each, with the capacity to be installed in three separate stages. Construction is already ongoing on the first 14 MW and commercial operations are expected by the end of this quarter. Two more phases, with a combined capacity of 41 MW, will follow in the second half of 2018. Grid-connection of those plants is scheduled for late 2018.
The 55 projects are developed under Poland's Contract for Difference (CfD) incentive scheme and are eligible for a 15-year guaranteed tariff, ReneSola said.
"This new financing facility also further reinforces our confidence in the potential of the downstream project development market in Poland,” commented Xianshou Li, ReneSolar’s chairman and CEO.
(EUR 1.0 = USD 1.162)