Railpen portfolio company AGR Power has secured contracts-for-difference for four solar projects in the UK Government’s Allocation Round 7 auction.
Railpen said the projects, totalling 146.41MW, in Hertfordshire, Cambridgeshire and Lincolnshire were awarded a strike price of £65.23/MWh and mark a major development milestone for the business.
It added that development will now move into the early stages of construction following years of work across land, planning, grid, procurement and construction.
The contracts will support the UK’s clean energy ambitions and provide long-term energy price certainty for consumers, according to Railpen.
“We are delighted that AGRs projects have been successful in AR7, securing more than 146MW of low-carbon solar power and providing long-term energy price certainty for both our members and consumers,” said Lewis Vanstone, head of infrastructure at Railpen.
“This significant milestone in the UK’s clean energy ambition also highlights the importance of long term, patient investment in the UK,” he added.
“the CfD result marks another major milestone in the development of our UK solar portfolio, allowing us to confidently continue our construction and growth ambitions,” said Oliver Breidt, founder of AGR.
“We are proud to contribute to strengthening the UK’s energy security while delivering high-quality sustainable infrastructure projects in partnership with Railpen”, he added.
Railpen noted that it expanded into solar in January 2023 with the acquisition of the 30MWp Bracks Solar Farm in Cambridgeshire, which has been operating at full capacity since October 2023.
The pension fund manager said it plans to grow its infrastructure portfolio from around £1bn to between £2bn and £3bn over the next five years, with about 75% invested in the UK.