Bringing you live news and features since 2013
Bringing you news, views and analysis since 2013

21605

OST advises RBS in UK’s first floating solar project financing deal

RELATED TOPICS​

OST Energy, an independent engineering consultancy, has teamed with Royal Bank of Scotland (RBS) and solar energy company Lightsource Renewable Energy to bring Europe’s largest floating photovoltaic (PV) solar project to completion.

A 6.3 Megawatt peak (MWp) array floating on the Queen Elizabeth II reservoir west of London, is now providing a source of clean energy to water utilities company, Thames Water. It is the first floating solar project to secure European bank financing.
 
Thames Water will buy all energy generated by the project as part of a power purchase agreement (PPA) with Lightsource.
 
Throughout the early stages of project planning prior to construction, OST Energy acted as technical adviser to lender RBS, providing a range of due diligence services.
 
High-energy users such as Thames Water are set to benefit from the rollout of floating solar on existing water storage facilities to directly support nearby industrial applications, meet sustainability targets and reduce on-site energy costs.
 
Backed by RBS, Lightsource managed the Queen Elizabeth II project, which saw the installation of more than 23,000 PV panels mounted on 61,720 individual floats. The company will continue to operate and maintain the site for the lifetime of the project.
 
OST Energy was engaged early in the project lifecycle to carry out an in-depth assessment of long-term energy yields, technology choices and EPC and O&M contracts, alongside a review of technical inputs to the financial model and planning and grid connection arrangements.
 
“Floating solar is a really exciting new technology, not just for markets with scarce land availability such as Japan, but also throughout Europe, where it can provide significant benefits for energy-intensive industrial and utility users,” says Simon Turner (pictured), director, OST Energy. 
 
“This first project finance deal illustrates that the technology now has considerable backing from the banking sector, and the visible success of early projects will ultimately contribute to cost reductions that will only enhance the appeal of floating solar to developers, independent power producers and investors.”
 
Nick Boyle, CEO at Lightsource, says: “Over the last five years we’ve successfully completed solar installations of all shapes and sizes and the floating solar project presented a new set of challenges to overcome. Our continuing industry success relies on strong relationships with key financial institutions like RBS. Working with OST Energy has allowed us to build even further on the trust and support we have developed with these organisations.”
 
OST Energy has worked on over 1,000 renewable energy projects across the globe.

Latest News

Irish domiciled funds surpassed EUR4.3 trillion AuM (Assets under Management) at end-March 2024, a 15..
New analysis by London-based Nickel Digital Asset Management reveals 38 listed companies with a combined..
Bloomberg has announced that for the first time, its proprietary Bloomberg Second Measure (BSM) transaction..

Related Articles

Global ESG Investing
On May 15 Florida’s Republican Governor Ron DeSantis signed legislation that furthers his ongoing campaign to oppose the role of climate change and ESG factors in state policymaking...
On May 15 Florida’s Republican Governor Ron DeSantis signed legislation that furthers his ongoing campaign to oppose the role of..
Trends
The trend to buyout among the UK’s smaller defined benefit (DB) schemes continues with a slew of new sub GBP100 million deals announced this month alone...
The trend to buyout among the UK’s smaller defined benefit (DB) schemes continues with a slew of new sub GBP100..
Different flavours
In what is believed to be the first survey of its kind in the UK market, Nedgroup Investments, the investment-led, multi-boutique global asset manager with over USD20 billion under management, recently undertook a survey with 204 UK investment professionals, seeking insights into their perceptions and attitudes towards boutique asset managers...
In what is believed to be the first survey of its kind in the UK market, Nedgroup Investments, the investment-led,..
UK map
UK local government pension schemes (LGPS) are leading the charge on investment in private markets issuing tenders set to be worth billions of pounds in the coming years...
UK local government pension schemes (LGPS) are leading the charge on investment in private markets issuing tenders set to be..
Subscribe to the Institutional Asset Manager newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by