Renta 4 | Two 520 MW ConnectGen/Repsol photovoltaic parks have been prequalified for commissioning in conjunction with the New York Power Authority (NYPA), the country’s largest state-owned utility, according to press reports.
The first farm will be located in central New York State and will have 250 MW of generating capacity and is expected to be operational by the end of next year. The second will be located in the west of the state and will add another 270 MW, although construction is expected to be completed in the first quarter of 2027.
NYPA’s statute requires it to maintain majority ownership of the facilities, which means that each project in its portfolio is developed under a co-development or build-and-transfer ownership scheme in partnership with a private developer.
Assessment: The news has no impact on the share price as it does not imply a firm contract, but reaffirms the progress in the execution of the Company’s pipeline (3.1 GW in 2Q24, 4 GW in 2024e and 9-10 GW in 2027e).
We reiterate our recommendation of Overweight and Target Price €19.50/share.
