Scatec Achieves Financial Close for Colombia solar plant finance
In a significant step forward for Colombia’s renewable energy sector, Norwegian renewable power producer Scatec ASA has officially reached financial close for its Barzalosa solar plant. The company announced on February 24, 2026, that with financing secured, construction has now commenced on the 130 MW project.
This milestone marks a key development in Scatec’s expanding portfolio in emerging markets and reinforces its commitment to driving the global green energy transition.
Project Financing and Power Agreements for the Colombia solar plant finance
The Barzalosa project, located in Colombia, has a total estimated capital expenditure of $121 million. The financing structure is a testament to the project’s viability, with approximately 70% covered by non-recourse debt provided by prominent local financial institutions, Bancolombia and Financiera de Desarrollo Nacional (FDN). The remaining capital is supplied through equity from the project partners.
Scatec holds a majority 65% equity stake in the project, with the Norwegian Investment Fund for developing countries, Norfund, owning the remaining 35%.
A crucial element of the project’s financial stability is a 15-year Power Purchase Agreement (PPA) with BTG Pactual Comercializadora de EnergÃa. This agreement secures the sale of approximately 85% of the plant’s generated power. The remaining output will be sold on the local spot market. The tariff is denominated in Colombian Pesos (COP) and is indexed to Colombia’s Producer Price Index, providing a hedge against inflation.
Scatec’s Role and Project Timeline in Colombia solar plant finance
Scatec will play an integral, end-to-end role throughout the project’s lifecycle. The company is set to act as the Engineering, Procurement, and Construction (EPC) contractor. Following the construction phase, Scatec will also manage the plant’s ongoing needs as the Operations & Maintenance (O&M) provider and serve as the Asset Manager.
With construction now underway, the Barzalosa solar plant is targeting the start of commercial operations in the first half of 2027.
A Milestone in a Growing Portfolio with Colombia solar plant finance
The Barzalosa project is a significant addition to Scatec’s robust development pipeline. This achievement is part of a broader strategy that includes a 3.2 GW backlog of projects, 2 GW currently under construction, and a total pipeline of 7.7 GW across various technologies and regions.
This consistent progress, including parallel advancements like the Obelisk solar and battery project in Egypt and the Thakadu solar project in South Africa, underscores the company’s strong position in the global renewables market and has been a contributing factor to positive investor sentiment. The successful financial close in Colombia further solidifies Scatec’s role as a leading developer of clean energy infrastructure worldwide.
