RWE to sign deal for new RES projects

By mid-February Greek electricity giant PPC and German peer RWE are expected to sign an agreement for the joint development of renewable energy source projects in the Greek market.

The agreement provides for RWE and Public Power Corporation to set up a joint venture this summer, with respective stakes of 51% and 49%, and contribute projects with a combined capacity of 1 gigawatt each that they will develop within three to five years.

PPC will contribute licensed projects from the portfolio of its PPC Renewables subsidiary that are not at the stage of construction or concession. RWE will also contribute licensed projects in the domestic market, which it is currently seeking out with the support of institutional consultants.

The objective of the two companies is to develop the first few projects early next year, with priority given to those that will be located in the region of West Macedonia, which is in the process of decarbonization, with investment incentives.

The share capital of the new company will eventually be proportional to the valuation of each company’s portfolio contribution.