The alliance will start with 230MW, including 100MW of operational wind power and 130MW of photovoltaic under development
Spanish electric utility company Iberdrola and insurance company MAPFRE have created a new strategic partnership, to jointly invest in renewable energy projects in the country.
The partnership has created a co-investment vehicle to address the common goals including 230MW green projects, both wind and solar PV, from the utility’s portfolio.
The vehicle is expected to add more operating assets over time, along with new renewable projects under development, targeting 1GW.
MAPFRE holds a majority stake of 80% in the vehicle, while Iberdrola holds the remaining 20%, along with responsibility for developing, building and operating the wind farms.
Iberdrola chairman Ignacio Galán said: “The alliance illustrates the need to work together, with commitment and action, in order to lead the transition towards a low-carbon economy, drive re-industrialisation and create jobs in our country.
“This urgent strategy has the backing of the European Union and the International Energy Agency. In MAPFRE we have found an ideal partner to drive investments and projects in the technologies of the future, enabling us to build a stronger, more competitive and sustainable economy for all.”
The joint initiative will invest in initial 100MW of operational assets located in Castilla y León, distributed between two wind farms in Soria and Burgos.
Also, it will invest in 130MW PV projects, currently being developed in Castilla-La Mancha, in the province of Guadalajara, to be commissioned in the third quarter of 2022.
MAPFRE chairman Antonio Huertas said: “This alliance between leaders allows us to grow together and, in our case, to continue diversifying our portfolio in a low-interest rate scenario while boosting investments with a positive impact on the environment.
“Meanwhile, we will move on with our commitment to energy efficiency as an instrument for green growth based on a low carbon economy.”
In March, Iberdrola has announced that it will invest €420m to construct two solar farms with a combined capacity of more than 750MW in the in Spain’s Extremadura region.
The projects include the 380MW Tagus photovoltaic plant and the 375MW Cedillo photovoltaic plant.