E.On is to participate in the construction and operation of two advanced solar thermal power plants in Spain in a bid to make solar power “the next strong pillar” in its renewable energy strategy.
The German energy giant has formed a 50-50 partnership with Abengoa Solar, which is currently building the two concentrating solar power (CSP) plants in Ecija, southern Spain.
Together, the two companies are to invest a total of EUR550 million in the two plants – Helioenergy 1 and 2 – which are scheduled to start operating in 2011 and 2012. The plants will use parabolic trough technology, which Abengoa has already gained experience with at the Solúcar Platform plants, also in southern Spain.
E.On’s participation in the projects is subject to approval from the European Commission, but Abengoa says that the partnership will benefit its growth strategy. “Having E.On on as a partner in these projects will allow us to continue growing at the speed we want and to improve our capabilities in areas where E.On has extensive experience,” said Santiago Seage, CEO of Abengoa Solar.
Frank Mastiaux, CEO of E.On Climate & Renewables said: “Solar Power will be the next strong pillar in E.On’s renewables portfolio. Our entry into CSP complements our recent moves into the photovoltaic business and we will now stand on two feet in solar in the future.
“I am also delighted to be working with Abengoa. We have found an experienced partner with whom we want to drive CSP to new levels of performance.”
