New loan funding of £5.4m will enable Shawton Energy, which has a track record in rooftop solar photovoltaic (PV) development, to build its first ground-mounted solar farm in Pembrokeshire, West Wales – with a capacity of 8.6MWp – by the end of this year.
The lending has been provided by Triodos Bank UK, which has specialised in financing renewable energy projects for over 30 years and actively lends to organisations that are driving forward the clean energy agenda.
With a history of playing a significant role in rooftop solar PV development, Shawton Energy is taking the next step and expanding its portfolio, as well as driving forward the renewable energy transition in Wales. Construction at the site is already underway with plans for the new solar farm to be operational by the end of 2025.
Once completed, Shawton Energy has a 15-year Virtual Power Purchase Agreement (VPPA) in place with King’s Cross Estate Services – one of the largest and most successful regeneration projects in the heart of London. The derelict area has been transformed into one of London’s most vibrant destinations with rejuvenated spaces, a thriving business community and a unique cultural scene. As well as social regeneration, the development has also had strong climate commitments from the outset, including constructing highly energy-efficient buildings and integrating nature into design choices.
Jamie Shaw, founder and managing director of Shawton Energy,said: “We’re thrilled to receive the support and financing from a bank like Triodos. Our mission at Shawton Energy is to enable businesses across the UK to access cheaper, greener energy through innovative solutions and this loan will enable us to expand our portfolio and introduce ground-mounted technology to our solutions.”
Chris Cullen, senior relationship manager at Triodos Bank UK, added: “We’re delighted to be supporting Shawton Energy in its plans to build the first ground-mounted solar farm in its portfolio. This innovative approach through a VPPA helped unlock the financing of this project as it provides predictable revenue streams and secures the financial future of the project. Unlike traditional power purchase agreements, a VPPA operates as a long-term electricity price hedging agreement.”
“Both Triodos Bank and Shawton Energy share the vision of accelerating the transition to a greener and cleaner energy system for all, and it’s only through financing projects like this will we realise that vision and the change we want to see in the energy sector.”