Railpen portfolio company AGR Power has secured contracts-for-difference (CfD) for four solar projects in the UK government’s Allocation Round 7 auction, the pension fund manager said.
The projects, located in Hertfordshire, Cambridgeshire and Lincolnshire, have a combined capacity of 146.41MW and were awarded a strike price of £65.23 per megawatt-hour, Railpen said. The award represents a key development milestone for the solar portfolio.
Railpen added that the schemes will now move into early-stage construction following several years of work covering land acquisition, planning, grid connections, procurement and build preparation.
The CfD contracts are expected to support the UK’s clean energy goals while providing long-term electricity price certainty, the company said.
“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.
Oliver Breidt, founder of AGR, said the award strengthens the company’s growth plans.
“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,” Breidt said.
“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 entered the solar sector in January 2023 through the acquisition of the 30MWp Bracks Solar Farm in Cambridgeshire, which has been operating at full capacity since October 2023.
The pension manager said it aims to expand its infrastructure portfolio from about £1 billion to between £2 billion and £3 billion over the next five years, with roughly three-quarters of the investments targeted in the UK.
