Neoen, an independent renewable IPP and the majority shareholder in Paradise Park, a 51 MWp PV farm based in Jamaica, together with the solar park’s co-shareholders, MPC Caribbean Clean Energy Fund and Rekamniar Frontier Ventures, have agreed a deal for the project’s financing.
Proparco (France’s development bank) and FMO will provide the senior debt for the project, with a total investment amounting to USD64 million.
Neoen’s was the winning project out of 19 bids in a tender launched by the Jamaican Office of Utilities Regulation (OUR). Paradise Park will deliver to Jamaica Public Service Company Limited the cheapest electrical energy ever made available in Jamaica – with a tariff of USD 85/MWh – through a 20-year power purchase agreement.
Construction of the project has already begun. Commissioning is expected in the first half of 2019.
Xavier Barbaro, CEO of Neoen, says: “This project shows how a combination of investment in an emerging country, cutting edge technology implemented by first class international contractors and a strong governmental and grid operator support, with a large environmental and social component, can generate value by offering the most competitively priced electricity to the grid. Paradise Park perfectly illustrates Neoen’s unique know-how, which enables the group to expand worldwide very rapidly. We are delighted to have such prestigious development banks as Proparco and FMO on board. Jamaica and the Caribbean in general are blessed with renewable energy resources, and the Group is therefore very active in terms of development in the area.”
Angella Rainford, Managing Director of Rekamniar Frontier Ventures, says: “This project exemplifies Rekamniar’s ability to execute significant projects from idea to reality. We are proud to be a part of Jamaica’s energy landscape evolution from traditional energy sources to renewables. This could not have been possible without the invaluable support we have received from Jamaica’s government, local agencies and our neighbouring community.”
