Denver-based Conergy has launched Conergy Fund I, a programme with an initial target of $100 million that will provide financing for solar power plants and qualified commercial projects with renewable energy capabilities between 500 kilowatts (KW) and 25 megawatts (MW) of power, the solar photovoltaic (PV) service provider said in a statement.
Backing for the programme is provided by Kawa Capital Management, the Miami-based asset fund manager that acquired Conergy in August 2013 to create a company that could provide solar energy solutions and financial capital solutions to its clients in the solar power market.
By establishing Conergy Fund I, the company hopes to remove a key barrier to the widespread adoption of solar PVs via power-purchase agreements (PPAs), which is competitive financing that can monetise local and federal incentives.
In addition to the financing, the programme will also streamline the process by managing the financial analysis, credit rating, administration and finance, billing, and collection of PPAs on behalf of the project.
“The Fund is ideal for mid-to-large size organisations such as municipalities, school districts, utility companies, and investment-grade corporations because the savings achieved last for decades,” said Anthony Fotopoulos, chief executive of Conergy Americas.
Conergy and its partners will also provide project development and engineering, procurement and construction (ERC) services through the fund.
The programme will serve as the foundation for future financial solutions in the US electricity market, according to the statement.