KfW IPEX-Bank is financing the construction and operation of the Överturingen onshore wind farm in Västernorrlands Län, a county in central Sweden. KfW IPEX-Bank is partnering with Crédit Agricole CIB to provide the project with around EUR 160 million in long-term debt capital, with each bank providing EUR 80 million. The financing is covered by the Danish export credit insurer EKF. The overall investment cost adds up to EUR 270 million. By financing the wind farm, KfW IPEX-Bank is helping Siemens Gamesa to launch its latest generation of onshore turbines to the market. The turbines reach a maximum height of 220 metres and are equipped with a new de-icing system
Construction of the wind farm is imminent and commissioning is planned for December 2019. The wind farm project’s installed capacity will amount to 235 megawatts (MW), which will be generated with altogether 56 Siemens Gamesa SWT-4.2-130 wind turbines. The wind farm is owned and sponsored by Green Investment Group Limited (GIG), a member of the Macquarie Group.
Siemens Gamesa has signed a 25-year full-service agreement for the wind farm’s operations. The generated power will be delivered under a base load PPA (Power Purchase Agreement) with Hydro Energi AS, a wholly owned subsidiary of Norsk Hydro ASA, the Norwegian aluminium company. Another distinctive feature of the PPA is its unusually long term of 29 years, making it one of the worlds longest of its kind.
The Överturingen wind farm on the Gulf of Bothnia is a follow-up project to the Markbygden ETT wind farm, for the financing of which KfW IPEX-Bank acted as Mandated Lead Arranger last year. The project received multiple awards from leading trade media, including Wind Deal of the Year (Project Finance International – PFI).