Alight and Solkompaniet begin construction on a new solar park in Karlskrona
Alight begins construction on a new solar park in Nättraby, Karlskrona, together with Solkompaniet.
Paris and Stockholm, October 25, 2023 — Neoen (ISIN: FR0011675362, Ticker: NEOEN), one of the world’s leading producers of exclusively renewable energy, and Alight, a leading solar developer and independent power producer in Europe, have provided notice to proceed to a consortium of Bouygues Energies & Services and Solkompaniet under an EPC (Engineering, Procurement and Construction) turnkey contract, signalling the start of construction of Hultsfred solar farm. With a capacity of 100 MWp¹, it is, to date, the largest solar project to reach construction stage in Sweden. Commissioning is scheduled for 2025.
Jointly developed and owned by Neoen (majority shareholder) and Alight, Hultsfred solar farm will be connected to the E.ON local grid distribution system, in Hultsfred, Småland, south-east Sweden. The farm will be built using low-carbon photovoltaic panels installed around the runway of Hultsfred airport. It is expected to generate enough electricity to cover the consumption of over 18,000 Swedish homes.
The project is underpinned by a long-term power purchase agreement (PPA) signed end of 2022 with H&M Group, under which the solar farm will provide the Swedish fashion chain with 95% of the renewable energy and guarantees of origin produced. The agreement will play an important role in H&M Group’s goal to only source renewable electricity by 2030 at the latest.
Laetitia Prot, Head of Business Development for Neoen Sweden, said: “I would like to congratulate our development partner Alight, and our contractors Bouygues Energies & Services and Solkompaniet for this great achievement. Hultsfred solar farm will be our third Swedish asset after Storbränkullen wind farm and Storen Power Reserve battery: our three-pronged, long-term approach is an ideal response to Sweden’s need for a secure supply of competitive, local, renewable energy, as it transitions to a net-zero carbon economy by 2045.”
Harald Överholm, CEO of Alight, commented: “It is exciting to move the Hultsfred solar farm into the construction phase, made possible by our fantastic collaboration with Neoen, E.ON, H&M Group, Bouygues and Solkompaniet. As the largest solar project in Sweden to date, it is not only in line with Alight’s mission to add more green megawatts to the grid, but it is a remarkable step forward for the country as a whole, as it accelerates the transition to a more sustainable future.”
Martin Höhler, CEO of E.ON Energidistribution, added: “This solar farm will be an important addition to electricity production in southern Sweden, where demand for cheap electricity is highest. Interest in connecting this type of facility to the grid is growing all the time, which is both good news for the climate and for the expansion of Swedish electricity production.”
Xavier Barbaro, CEO and Chairman of Neoen, concluded: “I would like to thank our team in Sweden for this latest achievement. We are very proud to be launching the construction of our third asset and first solar farm in the country, the outcome of fruitful collaboration between France and Sweden. Since 2020, we have invested almost €150 million in Sweden and we will further accelerate. Neoen operates on four continents and Sweden is one of our most promising countries.”
¹From a capacity announced of at least 90 MWp