Zelestra closes about USD 14 million green loan for two merchant solar assets in Puglia and Sicily
Revenue de-risked through long term PPAs with BKW, boosting bankability and investment grade profile
Projects support Italy’s climate and energy objectives while anchoring a broader 1.4 GW pipeline
Financing Breakthrough for First Italian Solar Assets
Zelestra closed financial signing for its first Italian renewables projects, a 6.5 MWdc solar plant in Ginosa in Puglia and a 9.5 MWdc solar plant in Bellomo in Sicily. The two sites were financed through an approximately €13 million senior debt green package arranged with Italian lender BPER, which also acted as Hedging and Agent Bank. The facilities will be built under long term power purchase agreements with BKW, the Swiss energy and infrastructure group.
The debt package is modest in size but meaningful in market context. Italian solar developers still contend with uneven permitting timelines and variable revenue structures. Project finance structures with contracted offtake and strong lenders increase confidence among institutional capital, especially as storage begins to pair with solar in the country’s southern regions.
PPA Structure Strengthens Investment Case
Long term PPAs with a creditworthy counterparty transform merchant solar into infrastructure grade assets. In this case, BKW’s offtake is understood to lock in predictable cash flows and reduce price volatility risk, bolstering debt sizing and tenor. While details on pricing and duration were not disclosed, Zelestra highlighted the improved bankability that the structure yielded.
Together, Ginosa and Bellomo are expected to displace roughly 8,500 tons of carbon dioxide annually and generate enough electricity to supply approximately 10,000 Italian households. For lenders, such data points support both ESG reporting and alignment with green loan frameworks. For policymakers, the projects contribute incremental volumes toward renewables targets designed to cut fossil reliance and improve grid resilience.
Company View and Growth Ambition
Eliano Russo, CEO at Zelestra Italia, said: “Signing our first financing agreement in Italy with a reputable institutional partner such as BPER represents a key milestone and a strong endorsement of Zelestra’s bankability and disciplined approach to project development and execution. We are grateful for the trust placed in our team and platform. We now remain focused on actively doubling our 1.4 GW Italian pipeline in 2026 and bringing many more solar and BESS projects into construction.”
Russo’s remarks point to a strategic shift. Italy has become one of Zelestra’s fastest growing markets with more than 1.4 GW across solar and battery storage. Storage is a necessary complement in southern Italy and Sicily where high solar penetration can strain the grid and depress midday market prices. Zelestra recently announced the initial offtake agreement for a two gigawatt hour battery energy storage project in northern Italy. If built to plan, it would rank among Europe’s largest standalone battery assets.
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Auction Results and Policy Context
The company also secured contracts for nine solar projects in Italy’s FER X auctions, which allow up to 168 MW of new capacity to proceed under a regulated support mechanism. Italy’s auction framework has drawn interest from European utilities, infrastructure funds and IPPs seeking scale alongside predictable payback horizons. While auction volumes remain below historical wind auction levels in northern Europe, the mechanism is viewed as a stabilising force for capital formation.
Italy is under pressure to accelerate renewable auctions and streamline permitting in line with European energy and climate policy. The European Union’s 2030 and 2040 frameworks, along with the Green Deal Industrial Plan, have created incentives for member states to bolster domestic clean energy supply chains, including storage and grid modernisation. Rome has also set national targets for solar and storage deployment to curtail dependence on imported fossil fuels and to reduce exposure to power price volatility.
Implications for Investors and the European Energy System
For C-suite readers and investors, three themes stand out. First, bankable PPAs remain the hinge for project finance in markets where merchant exposure is rising. Second, storage is moving from optional to essential in markets with structural solar curtailment risk. Third, Italian policy and auction design now influence capital allocation across Europe as developers weigh pipeline scalability, permitting speed and political certainty.
These assets are small in capacity but significant in trend. Italy is becoming a focal point for flexible solar and storage buildout. If Zelestra scales its pipeline as planned, it would add further depth to Europe’s distributed power fleet and support the continent’s broader decarbonisation and energy security agenda.
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