March 25 (Renewables Now) - Norway's Scatec Solar ASA (OSL:SSO) said it is too early to determine the impact of the coronavirus outbreak on the completion dates of its projects under construction and confirmed that power generation in the first quarter will be in line with guidance.
In an update on Wednesday, the solar developer and power producer said that travel constraints and local regulations “have started to impact” construction, commissioning and testing of some solar farms. At the end of 2019, it had projects in construction in Ukraine, South Africa, Argentina and Malaysia with a combined capacity of 711 MW, some of which have already been completed. Scatec did not metion specific projects or countries in the press release today, but it said the parks under construction are all nearing completion.
Scatec closed 2019 with 1.2 GW in operation and it wrapped up projects in South Africa and Sudan in the first quarter. All of its plants operate under long-term contracts struck with state-owned utilities at fixed prices. The predominant currencies are US dollars, South African rands and Malaysian ringgits.
“The Company has to date not experienced any impact of COVID-19 on operating assets or on delivery of power to our customers and consider the risk to be low,” it said. CEO Raymond Carlsen further noted that power production is a necessity in both normal and extraordinary times so Scatec “is shielded from some of the negative effects many other businesses are facing.”