Summary: International developer, Phelan Energy Group commences operation of 70 MW solar PV project in India with US$45m investment and achieves financial close in South Africa for 86 MW withUS$130m investment.
The fast growing Phelan Energy Group’s ‘PEG’ latest project in Rajasthan, Indiawas completed in December 2018 when officially grid connected.The solar PV plant with a capacity of 70 MW was delivered in 180 days with an investment of US$45m,with debt funding by the local Power Finance Corporation.
In May 2017, Phelan Energy Group participated in the reverse auction of Bhadla Phase-IV Solar Park in Rajasthan, organized by the Solar Energy Corporation of India (SECI). Phelan Energy Group bid at INR 2.62/kWh, which was, at the time, the lowest solar bid price, ever, in India
Prime Minister Narendra Modi called the Phelan winning bid a “historic moment”, bringing the solar electricity price in India below that of coal power for the first time, in history.
Phelan Energy Group surpassed all difficulties in achieving Completion even after the Indian government imposed a Sales tax of 18% in July 2017 and a 25%importduty in July 2018. Given its successful bid was prior to both these taxes, PEG is entitled to reclaim both taxes in India.
In another major December 2018 development, PEG’s subsidiary, Solar Capital reached Financial Close on its third major plant, in South Africa, with a capacity of 86 MW. Standard Bank of South Africa was the Lead Arranger,of the US$100m project debt. Solar Capital has signed a 20-year,South African government backed,PPA with a total value of $ 690 million, for this plant near the town of Loeriesfontein.This is Solar Capital third major project in South Africa bringing its total capacity to over 250 MW.
Paschal Phelan the founder and the Executive Chairman of the Phelan Energy Group Ltd., commented that “ 2018 was a year of significant growth and profitability with the expansion of our international footprint, and brings our international contracted electricity sales to over US$3.5 billion”.
Construction in Loeriesfontein will commence in quarter two of 2019, with grid connection in early 2020. The solar plant will produce 200 GWh of electricity annually,sufficient power over50,000 homes. As part of the Project Solar capital will invest US$13.5m in its successful local Community Development Program.
Phelan Energy Group Phelan Energy Group is a world leader in low-cost energy development with an exclusive focus on Solar PV. PEG commenced operations in South Africa 10 years ago and is led by a dynamicdevelopment team of 90 executives with 12 different nationalities, operating in 12 countries internationally. It has a total of one gigawatt of installed capacity and development pipeline, with a large and growing international footprint. In2016, it completed the largest solar farm, at 175 MW, in the southern hemisphere.
About Phelan Energy Group
Phelan Energy Group is a world leader in low cost energy development with an exclusive focus on Solar PV. PEG commenced operation in South Africa 10 years ago, and is led by a dynamic international development team of 90 executives, with 12 different nationalities.It has a total of one gigawatt of installed capacity and development pipeline, with a large and growing international footprint. When completed, IN, its key solar installation in South Africa, at 175 MW, was the largest solar farm in the southern hemisphere. Apart from its new International HQ in Dublin, PEG has offices in Cape Town, South Africa, New Delhi, India, Dhaka,, Pakistan and Sydney, Australia. Its Cape Town office will continue to develop opportunities in Africa. New Delhi is the location of its International ‘Center of Excellence’which is the key support office for Technology development and Project Design and Construction. It performs all its own EPC installations for projects up to 15 MW, through its subsidiary Repco Energy Ltd.
Paschal Phelan is the founder and the Executive Chairman of the Phelan Energy Group Ltd. leads the business with a core vision of low cost installation, local community participation and support, together with stewardship and responsibility for the environment.
Ms. Ana Garcia Barrera, MBA
Executive Assistant to Chairman
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