EDP Renováveis and EDP Brasil, whose parent company EDP Portugal has China Three Gorges as its largest shareholder, has secured a contract for the sale of renewable energy produced by a new solar power plant in the state of São Paulo, Brazil.
According to a statement by EDP sent to the Securities and Exchange Commission (CMVM), the new solar plant has a capacity of 254 megawatts (MW), and is expected to go into operation in 2024.
EDP, “through a 50%/50% partnership between its subsidiaries EDP Renováveis, S.A. (“EDPR”) owned at 74.98% and EDP Energias do Brasil S.A (“EDP Brasil”) owned at 56.94%, secured a 120 MWac Power Purchase Agreement (“PPA”) to sell the clean energy produced by Novo Oriente solar power plant”, the statement says.
The new solar power plant is located near another project, the Pereira Barreto solar farm, which recently came into operation, providing “significant synergies between the two”.
“With this new PPA, EDP continues to increase its technological diversification with 3.8 GW of secured capacity in Solar and an overall secured capacity of 8.9 GW for 2021- 25,” the Portuguese company highlighted.
The company also stressed that this type of contract reinforces “its low-risk profile and growth strategy based on the development of competitive projects with long-term visibility, fostering the acceleration of the energy transition and the decarbonization of the economy”.