Iberdrola to take a position EUR 500m to impress Volkswagen gigafactory in Spain

Might 6 (Renewables Now) – Spanish utility Iberdrola SA (BME:IBE) on Thursday introduced a plan to take a position round EUR 500 million (USD 528.5m) in renewable vitality, vitality effectivity and different electrification options for Volkswagen’s new electrical automobile (EV) battery manufacturing facility in Spain.

The plan will embrace development of a 250-hectare (618 acres) photo voltaic farm not removed from the gigafactory’s location in Sagunto, Valencia, the place Volkswagen intends to construct services to fabricate 40 GWh of batteries utilizing solely renewables.

The German automotive maker and its Spanish unit SEAT mentioned individually that they may make investments EUR 10 billion within the EV enterprise in Spain as a part of a wider partnership with over 60 home and worldwide corporations. The funding will go in the direction of remodeling two current SEAT websites in Spain to fabricate small e-cars, constructing the EUR-3-billion battery gigafactory in Sagunto, and establishing a complete battery chain, together with lithium extraction.

Building of the Sagunto manufacturing facility will begin in 2023, whereas the primary batteries are set to roll off in 2026. The primary Spain-made EVs will come out in 2025, the Volkswagen group mentioned.

Volkswagen and SEAT are searching for funds from the Spanish state for the entire endeavour. They utilized for the so-called PERTE financing device, a chest full of principally Covid-19 reduction funds that are awarded by way of particular tendering procedures.

(EUR 1.0 = USD 1.057)

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