Axpo signs Sweden’s first market-based solar PPA with Sparbanken Skåne solar park

07.06.2021 - Axpo has signed a 10-year power purchase agreement (PPA) with the Sparbanken Skåne solar park, underlining its leading role as a provider of renewable energy PPAs in Sweden. Working with one of Sweden’s largest solar developers, Svea Solar, Axpo is now breaking ground with the country’s first market-based solar PPA, proving the case for commercial solar build-out.

Svea Solar, a Swedish energy company founded in 2014, has been focusing on the development of solar energy projects in its home market and internationally, the latest being the 18-MW Sparbanken Skåne solar park in the municipality of Sjöbo, Southern Sweden. The country’s largest solar park, which is an extension to an existing park nearby, is currently under construction and will be connected to the grid this summer. The future Sparbanken Skåne solar park will have an expected power production of around 19 GWh per year, which corresponds to the average electricity consumption of 4,000 households in Sweden.

Cecilia Bergman, Senior Originator Axpo Sverige, commented: “Sweden has had a successful build-out of wind power on market-based terms and Axpo has played a major role in this by providing long-term hedging solutions and balancing services to investors. We now see a new technology in the Nordic power mix with the emergence of large-scale PV, and look forward to continuing to be an enabler and accelerator of the transition towards more renewable energies.”

Erik Martinson, CEO Svea Solar, added: “Svea Solar is leading the power shift towards renewable solar energy in the Nordics, so we are delighted to be cooperating with Axpo. They are a very experienced player in Nordic market renewable energy PPAs and have been able to adapt their services to the needs of solar investors. Working with Axpo was a clear, fast and efficient process, and we are thrilled to be part of this pioneering PPA project in the Swedish solar market.”

Axpo Nordic is part of the Axpo Group, the largest energy company in Switzerland. The wholly owned subsidiary was founded in 2003 for markets in Northern Europe and the Baltic region. The focus of its business activities in the Nordics is on long-term power supply and purchase agreements. In addition to its PPA business, Axpo Nordic develops bespoke products and associated services for customers, including retailers, industry, and producers. Axpo’s business activities in the Nordics are part of the company’s strategy to grow its international presence and business, specialising in tailor-made energy solutions.