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Partner Polytechnic of Crete, KAPE-CRES, HBS
The first community solar investment in Greece
Electra Energy Cooperative is proposing the development of a 180 kWps community solar farm on 2,500 m2of land located in the region of Lamia (Central Greece). By setting up an Energy Community legal entity, this solar farm will be able to power more than 50 homes and small businesses producing and supplying264,500 kWhs of clean solar power for a period of 25 years.
The solar farm will be licensed and contracted following the rules of the new Ministerial Decision for self – consumption: “Virtual Net Metering” which allows any member in the energy community to own a share in a community solar farm and to benefit from the solar production retrofitting the annual electricity bill. The energy community will be constituted in Athens and will act as the SPV (Special Vehicle Purpose) providing the legal scheme for the management of the members and the distributed ownership of the community solar farm.
A community solar farm is a descentralized solar installation distributing solar to multiple users. The users of solar are defined as self- producers (prosumers) by subscribying as members in the legal entity owning the solar farm and they are buying a portion of the annual power generation. The solar energy that is generated by the farm is credited to the subscriber’s electricity bills in proportion to their investment (Virtual Net Metering). The generated power will be fed in the grid and will become an asset of the energy community entity constituted in Athens. A contract agreement between the energy community entity and the future members will define the terms and conditions in which the member will invest, buy and self-produce is own power. Each member will have a share and own is own production and proportional costs, including the prefinancing proportional expenses. The annual power generation isestimated for a 180 kWps PV in the region of Lamia: of 264,000 kWhs annual full load hours. The new energy community will sign a Virtual Net Metering PPA (power purchase agreement) with the Greek energy market operator for a term of 25 years.
The estimated costs for developments and construction of the solar farm calculated on 1,000 €/ kWp basis (kWp: Kilowatt peak installed), 180,000 € overall investment cost. Each member self-generate its own electricity by buying an individual share of the solar investment. This share will be proportionally adapted to its annual electricity needs there will be offered different investment packages (1 kWp, 2kWps, 3 kWps, 10 kWps shares, etc). Overall costs (development, construction and financing) will be distributed to all members of the energy community and included in the business plan as a communitary expense. The overall cost will be paid back from the performed savings and each member will perceived the annual discount in the energy bill according to the purchased investment. From the annual savings, each member will discount the overall costs and contribute to the payment of the prefinance costs.
For example, if a member owns 2 kWps of the entire solar farm the costs and debt service will be 2,000 € to be paid in 8 years, which will be compensated annually with the energy savings generated.
7, Olympionikon Street, Ilioupolis,Attica, Greece
+30 210 6293557
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