Global law firm Ashurst advised Solar Pacific Pristine Power Inc. (SPPP), a subsidiary of Solar Pacific and part of the Alternergy Group, on the US$22 million project financing of a 15.28MWp solar photovoltaic facility and 10.2MWac / 12.9MWh battery energy storage system located in Babeldaob, the largest island in the Republic of Palau.
The project financing has been provided by the Australian Infrastructure Financing Facility for the Pacific (AIFFP) and the Commonwealth of Australia. Financial Close is expected to occur in early 2022.
AIFFP is a A$2 billion fund managed through the Australian Department of Foreign Affairs and Trade, which focuses on high-priority infrastructure in Pacific Island nations with an emphasis on environmentally and socially sustainable projects.
Once complete, the project will be the largest hybrid solar photovoltaic facility and battery energy storage system of its kind in the Western Pacific region. The project will contribute towards Palau's target of 20% renewable energy by 2025, and reduce its reliance on imported diesel for power generation. The solar power plant is anticipated to deliver up to 23,000 megawatt hours per year to the grid and is expected to support up to 150 local jobs during peak construction.
The Ashurst team was led by partner David Mason, assisted by Counsel Douglas Fung and Associate Fiffy Che (Project Finance) and partner Dan Brown (International Projects Group).
