Friday, September 24, 2021
HomeRenewablesLSG Group and STEAG to explore the photovoltaic markets in SEE under...
Powered by

LSG Group and STEAG to explore the photovoltaic markets in SEE under new joint venture

Austria-based LSG Group and German STEAG Solar Energy Solutions (SENS) have formed a joint venture to explore the photovoltaic markets in Eastern and Southeastern Europe. The target is to build up a project portfolio of around 1,000 megawatts (MW) over the next five years.

The two companies have been working closely together on a range of photovoltaic projects for years now, they constructed large-scale photovoltaic installations with a total capacity of over 230 MWp.

Just recently, STEAG Solar Energy Solutions (SENS) and LSG Romania (as EPC contractor and subcontractor of LSG BUILDING SOLUTIONS) have connected 130 solar parks, with a total capacity of 65 MWp to the grid in Hungary. The plants, with the maximum installed capacity of 0.5 MWp each, are located in the North and East of the country and near the capital Budapest. After grid connection in April, Hungary immediately started to benefit from an additional annual output of 78,000 MWh of green electricity which could permanently save almost 44,000 tonnes of CO2 emissions in the future.

The companies underlined that in addition to the favourable climate conditions in Hungary, the subsidy conditions were also advantageous for the project as the Hungarian government promotes the plants by issuing so-called “KAT licences”, which guarantee companies a fixed feed-in tariff for up to 25 years.

Despite the huge challenges brought by the COVID-19 pandemic and especially by the complexity of the project the 130 solar plants have been completed in less than ten months and the two companies already noted that they intend to tackle the photovoltaic markets in Eastern and South-Eastern Europe in the future within the framework of a joint venture.

Within the framework of the new joint venture, the parties will support each other in planning, project development, construction management and the purchase of components. They set their sights mainly on the development and construction of solar parks as well as service operations in Hungary, Romania and Greece.

With up to 2,500 hours of sunshine per year, Hungary is one of the leading lands of sunshine in Europe. The country saw solar power increase from 3 per cent of electricity in June-July 2018 to 12 per cent this summer and solar overtook coal power in Hungary for the first time this summer.

Sign up to our biweekly newsletter


    Most Popular