Universal Kraft Canada Renewables, a JV between Korkia and Universal Kraft, has announced a US$15m initial commitment credit facility, expandable to up to US$50m, to develop 1700MW of solar projects in Canada.
The facility, with American asset-based lender Crayhill Capital Management, will be used to finance Universal Kraft Canada Renewables’ Generator Unit Owner Contribution (GUOC) requirements related to solar energy development in Alberta, Canada.
The GUOC, used in the Alberta electricity market, is a refundable payment to the Alberta Electric System Operator (AESO) required from the owner of a generating unit or aggregated generation facility.
The purpose of the GUOC is to incentivize power generation construction near existing transmission capacity, and it is refunded over time based on generator size, location and performance.
Canadian business development at Universal Kraft Daniela Louback said: “The successful closing of this transaction validates the quality of our development work and portfolio, ensuring interconnection for our advanced projects.
“This achievement supports our portfolio’s growth and strategically positions us to meet the anticipated rise in renewable energy demand once we get past the market reforms.”
Kristina Sweet, canadian country manager for Korkia, added: “This strategic move underscores the company’s deep capabilities to bring meaningful and innovative solutions to market amidst a backdrop of significant reforms.
“With Crayhill’s support, we are well-positioned to accelerate the development of our projects, further cementing our contribution to Alberta’s renewable energy market.”