EDP Renewables’ (EDPR) subsidiary EDP Renováveis Brasil (EDPR Brasil) has entered into a 15 year power purchase agreement (PPA) to sell electricity generated from its 199MW Pereira Barreto solar plant.
EDPR Brasil’s solar plant is located in the Brazilian State of São Paulo and the power purchase agreement is set to come into force in 2022.
The Spanish energy company stated that the with this contract, EDPR has entered the Brazilian solar energy market, while reinforcing and diversifying its presence in a market with a low risk profile, by entering into long term contracts and setting up attractive renewable resources.
The partnership enables EDPR to have 1GW of renewable energy projects under construction and development in Brazil. These projects are expected to begin operations between this year and 2024, with all of them having long term contracts.
EDP Group CEO António Mexia said: “This contract is yet another demonstration of just how important Brazil is for EDP Renewable’s strategy and that of the parent group globally.
“Our entry into the Brazilian solar energy market is also a commitment to our diversification of energy production technology, without ever forgetting the increasing importance of clean energy. Brazil is a priority market, which is providing us with growth opportunities.”
Earlier this month, EDPR Brasil bagged rights to develop 429MW of wind projects at the Brazilian energy A-6 2018 auction.
The company secured 20-year PPAs to sell power generated from two wind farms – the 176MW Jerusalem wind farm and the 253MW Monte Verde wind farm.
The two new wind farms, which will be located in Rio Grande do Norte state, are expected to enter into commercial operations in early 2024.
The Jerusalem wind farm and the Monte Verde wind farm were won at a bidding prices of R$94 ($22.61)/MWh and R$87 ($20.93)/MWh, respectively.
Recently, EDP Renewables North America entered into an additional PPA to sell 50MW of the power generated from its 200MW Broadlands wind farm project in Illinois.
Scheduled to begin operations in 2019, the Broadlands wind farm will generate enough power to cover nearly 69,000 average Illinois homes.