Multinational PV project developer ReneSola Power will sell two ground-mounted PV installations in Spain with a total peak generation capacity of 12MW to Aream Group (aream), a renewable energy investment company based in Germany. The two PV installations are collectively known as the “Caravaca Project” as they are located in Caravaca de la Cruz, a municipality in the Region of Murcia (i.e., the southeastern part of Spain). Both are in the most advanced stage of development compared with ReneSola’s other projects in the country. Specifically, they are ready to build and will probably finish construction in the early part of this year. Including the Caravaca Project, ReneSolar appears to have more than 300MW of PV generation capacity in development in Spain.
The transaction will be conducted through a share purchase agreement between the project owner and aream. The owner is a special purpose vehicle jointly owned by ReneSola and partnering entities. ReneSola developed the Caravaca project with a subsidiary and several other partnering entities. With the transaction, aream will purchase the special purpose vehicle in its entirety.
It should also be pointed out that ReneSola is currently defending itself against the allegation that it has committed fraud by exaggerating the amount of generation capacity that it is developing. A research firm in the US has recently released a report stating that many of ReneSola’s projects in Europe do not actually exist.