The 27 MW Twitch Hill Solar Park is expected to come online in September 2024.
Image: Lynher Energy
Lynher Energy has signed a 15-year corporate power purchase agreement (CPPA) for its 27 MW Twitch Hill Solar Park site in Shropshire, England. Under the agreement, 100% of the site’s production will be supplied to an unnamed UK-based FTSE 100 company. The deal is structured as a physical PPA with sleeves, meaning an energy supplier or utility will act as an intermediary between the solar power plant and the off-taker.
Construction has already started on the 36 hectare site and occupancy is currently expected for September 2024. The previous owner and lessor of the solar farm, Cheswell Grange Farm, began development work on the site in 2020, working with the chartered surveying company and engineering firm Low Carbon Alliance. The project was sold to Lynher Energy on March 31, 2023. In August 2023, the developer secured a GBP52.7 million ($67 million) banking facility with Close Brothers to help finance the construction of several projects, including Twitch Hill.
Twitch Hill Solar Park is located on unused agricultural land rated 3b: moderate quality agricultural land, according to the Agricultural Land Classification system used in England and Wales. As part of the development of the project, almost 3.5 km of new hedgerows have been planted at the site. Other environmental proposals include the introduction of wildflowers and the strategic planting of trees as a means of supporting biodiversity on the site.
Founded in December 2022, Lynher Energy is a joint venture between solar and storage project developer Ethical Power and investors Napier Park Global Capital. According to director Chirs Sparrow, the CPPA provides a solid foundation for Lynher Energy to increase capacity “in the near future”.
“Working with a credit-worthy FTSE 100 company reaffirms our ability to make a meaningful contribution to the fight against climate change while delivering value for our stakeholders. The agreement is also intended to provide a high degree of certainty over the cash flows from this investment in the coming years,” he said.
Ethical Power will be responsible for the operations and maintenance work on Twitch Hill. Lynher Energy was advised by Osborne Clarke and the buyer was advised by Amber and EY.
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