Gestamp Solar has announced its first utility-scale solar photovoltaic project in Japan. The project, located in the town of Daigo, will have an installed capacity of 31.6 MW and is situated on a former golf course.
Headquartered in Spain, Gestamp Solar started its Japanese operations in 2012, and the developer says the project is made possible under promotion measures by Japan's Ministry of Economy, Trade and Industry for the introduction of renewable energy in the Asian country.
Jorge Barredo, CEO of Gestamp Solar, says," This is an important milestone for Gestamp Solar, as the project is one of the largest utility-scale solar power plants to be developed by a foreign company in Japan. It is the largest single solar project to secure non-recourse financing in Japan."
For this project, Gestamp Solar entered into an agreement with Deutsche Bank AG, Tokyo Branch to secure access to a non-recourse construction loan facility based on international project finance standards of about $110 million. The parties expect to enter into similar financing arrangements for future Gestamp Solar projects in Japan.
Gestamp expects to complete construction on the 31.6 MW project within a one-year period and commence energy production by April 2015. The project will supply its output to Tokyo Electric Power Co.