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€2.2 Million Is Being Raised in Zakarpattia for the Construction of a Hybrid Solar Power Plant with BESS Near the EU Border

€2.2 Million Is Being Raised in Zakarpattia for the Construction of a Hybrid Solar Power Plant with BESS Near the EU Border

As reported by InVenture, a project to build a hybrid solar power plant with a battery energy storage system (BESS) in Zakarpattia region has launched the process of attracting a private investor

The required investment amounts to €2.2 million, and the project is structured as a Private Equity transaction through an equity entry into the project company. The total construction budget is estimated at approximately €8.7 million, with 80% of the financing expected to be provided through a state bank loan, which, according to the project initiators, has already been preliminarily approved.

The project is located in Zakarpattia region, less than 10 km from the European Union border, which adds strategic appeal given its proximity to the European energy space. The land plot, covering 11.6 hectares, is privately owned and designated for energy infrastructure development.

According to the initiators, the project is already at the Ready-to-Build stage. Key preparatory steps include secured land ownership, obtained grid connection technical conditions, a registered construction commencement notice, an established special purpose vehicle (SPV), and preliminary agreements with industrial consumers regarding direct power supply contracts.

The technical configuration of the project предусматривает the construction of a solar power plant with 8.7 MW of peak photovoltaic capacity and 7.5 MW of grid connection capacity. The expected annual output is 10,688 MWh. The plant is expected to use 12,428 Risen photovoltaic modules, Huawei inverters, and KNESS mounting structures. At the same time, the project includes a 30 MWh BESS with 7.5 MW of power based on LFP batteries. The projected battery life is stated at 8,000–11,000 cycles, while the residual capacity warranty is no less than 64.5% in year 14 of operation.

The business model is based on a combination of generation and energy trading. Around 30% of revenue is expected to come from sales of electricity generated by the solar plant, while another 70% is to be generated by the storage system — through purchasing electricity during low-demand hours, selling during peak periods, participating in the balancing market, and managing imbalances. The project is targeting several segments of Ukraine’s power market, including the day-ahead market, intraday market, balancing market, imbalance market, and bilateral contracts market.

The financial model assumes an investor IRR of around 19% in the base case and up to 30% in the optimized trading model. The discounted payback period for the investor is estimated at 4–5 years. The private investor is offered a 35% stake in the business, access to financial and technical documentation, regular reporting, and, after the return of invested capital, proportional profit distribution among the project participants.

Against the backdrop of growing interest in distributed generation, energy storage systems, and hybrid energy solutions in Ukraine, the project appears to be an attempt to combine conventional solar generation with a more flexible monetization model through BESS. Its proximity to the EU border, construction readiness, and preliminarily structured debt financing may make this asset a notable investment opportunity in the renewable energy segment.

Additional information is available on the InVenture platform.

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