Vau i Dejës Floating Solar Project Advancement
Albania is making a significant splash in the renewable energy sector, with its pioneering Vau i Dejës floating solar project moving forward. A €13.9 million contract was awarded in October 2024 to a Chinese-Spanish consortium, comprised of Sungrow and Gamma Solutions, to construct a floating solar power plant on the Vau i Dejës hydropower reservoir. This initiative is a landmark project for the country and is set to become the largest floating solar installation in the Western Balkans.
The floating solar power plant will have an installed capacity of 12.9 megawatts (MW) and is expected to generate approximately 22 gigawatt-hours (GWh) of clean electricity annually. This development is part of a broader push for renewable energy in the country, complementing another innovative Albania solar plant also planned for the same reservoir. Managed by the state-owned energy corporation KESH, the project is a key component of its Floating Power Plant (FPP) strategy.
Benefits of the Floating Solar Project Deployment
The Vau i Dejës project highlights the distinct environmental and economic advantages of floating solar technology. By utilizing the reservoir’s surface, the project avoids using valuable agricultural or forested land. Floating solar plants often demonstrate higher efficiency compared to ground-mounted systems because the water’s cooling effect helps the photovoltaic panels perform optimally. The basics of solar panel manufacturing show that temperature is a critical factor in performance.
Beyond energy generation, the project will help reduce Albania’s reliance on fossil fuels and decrease its greenhouse gas emissions. The panels also serve a dual purpose by reducing water evaporation from the reservoir, a benefit seen in other projects like the Seychelles floating solar installation. For the Vau i Dejës reservoir, this is expected to save an estimated 2.2 million cubic meters of water each year, conserving a vital resource and supporting local ecosystems.
Government Support and Future of the Floating Solar Project
The Albanian government’s strong support for this project is part of a comprehensive national strategy to diversify its energy mix and boost renewable capacity. This commitment is underscored by significant international financial backing. The project is supported by a loan from the European Bank for Reconstruction and Development (EBRD) and a grant from the Western Balkans Investment Framework (WBIF), signaling strong investor confidence. The overall solar panel manufacturing plant cost breakdown for such projects is complex, making this financial support crucial.
This initiative is not happening in isolation. It complements other major energy projects in Albania, including the 50 MWp Belsh solar plant and the state-funded Skavica Hydropower Plant, showcasing a coordinated pivot toward sustainable energy. The success of the Vau i Dejës plant could catalyze a wave of similar projects across the Western Balkans, a region with numerous hydropower reservoirs suitable for floating solar. As the technology matures, specialized firms are emerging to provide dedicated services, as seen with the launch of Nova & RSK Launch AquaGen365, which could further accelerate adoption.
While this 12.9 MW plant is a regional leader, it is part of a growing global trend, with projects like Europe’s largest floating solar power plant setting even higher benchmarks. The Vau i Dejës Floating Solar Project represents a critical step for Albania’s energy future, establishing an innovative model for clean power generation that could be replicated throughout the region.
If you’re interested in understanding the technology behind projects like this, from the solar panel raw materials to the final assembly, consider exploring our resources. To gain a comprehensive understanding of the industry, sign up for our free e-course on solar panel manufacturing.



