1,044 MW plant, acquired from Monsson, will be situated in Arad County, creating more than 500 new jobs in the area. Plant expected to be online by 2025, providing clean power to almost 1 million people.
MONSSON, the largest renewable energy project developer in Romania, has signed a deal with Rezolv Energy, to finalize by first quarter of 2023 the development of the largest solar PV plant in Europe, located in Arad County. The project will have an installed capacity of 1,044 MW and will likely include a state-of-the-art battery storage solution. The annual estimated energy production of the plant will be able to cover the consumption of over 1 million households and will create over 500 new jobs in the next three years. The power will be sold to commercial and industrial users through long-term Power Purchase Agreements.
“We are proud to be part of Romania’s energy transition toward renewable energy. We believe Romania can be an example in these interesting times. Green energy is cheaper, cleaner, and creates no dependency on others. We purely rely on our wind and sun,” said Sebastian Enache, Head of M&A, Monsson.
Jim Campion, Chief Executive, Rezolv, said: “We are moving into a new era for renewable energy in Europe. Projects like this will give us the scale to provide highly competitive, subsidy-free clean power at a stable price for industrial and commercial users. It will also make a significant contribution to Romania’s twin objectives of increasing its energy independence and reducing its net emissions to zero.”
The power plant is in a final development stage and, by June 2023, construction can start. Rezolv Energy is already appraising technology solutions and debt financing options. Monsson and Rezolv have big plans in reskilling people from the area and involving as much local input as possible in future construction and operation works at the plant.
The project will be designed, constructed, and operated to the highest environmental, social and governance (ESG) standards, with a particular emphasis on integrating symbiotic agricultural activities on the site. Much of the poor-quality agricultural land will be returned to pasture, with sheep managing the vegetation through grazing. Recent research from the United States has shown the numerous advantages of this approach, confirming that the overall return from grazing is the same in both solar pastures and open fields with no PV panels. The project will also seek to incorporate beekeeping and other measures to increase biodiversity.
Formed earlier this year, Rezolv’s leadership team has previously developed and run a portfolio of energy projects in Central and South Eastern Europe, including the Chirnogeni wind farm in south-eastern Romania. Last month, the company announced that it was partnering with Low Carbon to deliver the 450MW ‘Vis Viva’ onshore wind farm south of Buzău.
In this transaction, KPMG acted as the sole M&A advisor, in coordination with the Berechet Rusu Hirit team as lead legal advisor and Biris Goran as supporting legal advisor on Monsson’s side, with Clifford Chance as legal advisor on Rezolv Energy’s side.