At the flagship event “Storage and Renewable Leadership Forum”, organised by Strategic Energy Corp, Triodos Bank announced that this year, it will finance renewable energy projects in Spain and Europe at an unprecedented scale. For 2025, the bank expects to grant loans for projects totalling between 300 and 400 MW.

The institution maintains an active presence in the Netherlands, Germany, Belgium, the United Kingdom, Spain, and France, positioning itself as a leading player in sustainable finance. Its financial model includes long-term senior debt loans, with terms of 15 to 20 years, miniperm structures, bridge loans, and VAT financing for renewable energy projects.

The first event of the year by Strategic Energy Corp was a two-part virtual session, co-organised with Mobility Portal Europe and Strategic Energy Europe. Strategic Energy Corp partnered with Future Energy Summit (FES) to host this encounter, as FES is the leading platform for renewable energy discussions in Spanish-speaking countries.

Notably, on 24 June, the third edition of FES Iberia 2025 will take place at Colegio Caminos (Auditorio Betancourt, C. de Almagro, 42, Chamberí) in Madrid. (Relive the previous edition here). The encounter will feature companies such as Iberdrola, Nextracker, Engie, Grenergy, Statkraft, Acciona Energía, Red Eléctrica, and EDP Renovables, alongside key representatives from Spain’s regional governments and Latin America. Key discussion topics will include solar and wind energy, energy storage, green hydrogen, distributed generation, PPAs, auctions, and new projects.

Trends in renewable financing: the rise of PPAs

Triodos Bank has evolved alongside the renewable energy sector, adapting its financing models as technologies have become more competitive. The bank is currently focused on PPA-based structures (long-term power purchase agreements), offering greater financial stability for developers.

“Today, we are primarily focused on projects with long-term price hedging structures. The well-known PPAs provide certainty for debt repayment, which is crucial in this market environment,” explains Miguel Ángel Amores González, Head of Structured Finance for Renewable Energies and Environmental Technologies at Triodos Bank Spain, during Panel 5: “The Challenges in Advancing the Development, Construction, and Financing of Renewable Energy Projects”.

Regarding leverage levels, PPA-backed projects typically secure financing with a 60% debt to 40% equity structure, although this ratio may vary depending on the off-takers profile. In contrast, projects that rely entirely on the wholesale market (merchant projects) tend to have a lower leverage ratio, around 50%.

Small-scale solar parks: The alliance with Ingenostrum and green financing

One of the most significant aspects of Triodos Bank’s strategy is its partnership with Ingenostrum, which has transitioned from being a third-party developer to becoming an Independent Power Producer (IPP). This transformation has materialised through a 20 million euro financing agreement between the two entities to develop 10 photovoltaic plants in Castilla-La Mancha and Andalusia, with a total capacity of 42 MWp, potentially increasing to 53 MWp.

“We want to invest, to stay, and to develop projects in which we participate in all stages of the value chain,” states Óscar Martín, CFO of Ingenostrum.

These small-scale solar parks, with capacities ranging from 1 to 6 MWp, have been designed for better environmental integration and operational flexibility. From Triodos Bank’s perspective, Amores González highlights the importance of this model: “The climate and biodiversity crisis calls for initiatives like this, where renewable generation is combined with projects of a manageable scale that provide direct benefits to the local economy.”

Moreover, this agreement represents a milestone in sustainable banking, as Triodos Bank has enabled 100% merchant financing, without requiring prior PPA agreements—something uncommon in the financial sector. However, a deadline has been set until the Commercial Operation Date (COD) for the signing of these contracts, ensuring the financial stability of the projects.

Innovative financing: EV charging stations linked to solar power

As part of its innovative approach, Triodos Bank recently financed Spain’s first pre-finance model for electric vehicle charging stations linked to a photovoltaic plant.

“This model ensures that energy generated by the solar plant is partially used to power EV chargers through virtual PPAs,” says Amores González.

This initiative demonstrates the bank’s commitment to sustainable mobility and the integration of new technologies into the energy transition.

The role of hydrogen and storage in Triodos Bank’s strategy

Looking ahead, Triodos Bank is focusing on identifying opportunities in green hydrogen and energy storage. In the Netherlands, it has already participated in the partial financing of hydrogen projects, and in Spain, it is exploring alternatives with industry stakeholders.

“Hydrogen will be essential for decarbonising sectors that are difficult to electrify, such as aviation and maritime transport. The question is how quickly costs will decrease and demand will be secured for these projects,” analyses Amores González.

Energy storage will also play a crucial role in increasing renewable penetration in the grid. “Capacity markets, incentives, and cost reductions will be key factors in making batteries and hydrogen bankable technologies,” adds the executive.

2030 Outlook: Financing and the energy transition

Triodos Bank believes that over the next five years, the renewable energy market will face challenges such as the integration of artificial intelligence in permitting processes, supply chain stability, and the development of a more agile regulatory framework.

By 2025 and 2030, the priority will be to structure financing solutions that allow developers to access long-term investments with sustainable business models. “The future is promising, but the key will be ensuring that projects remain financially viable in an increasingly competitive and technologically advanced market,” concludes Amores González.