Tierra Bonita is a solar energy generation project that covers an area of about 2,250 acres. The electric power to be produced in the facility is expected to power about 60,000 homes (equivalent to all homes in Kfar Saba and Raanana, together).

In 2022, a Purchase Price Allocation (PPA) agreement was executed for the sale of about 60% of the power produced in the project, which is about 235MWdc. The agreement also included the sale of the green certificates for the power sold to CPS Energy, the municipal utility company of the City of San Antonio, which is the second largest city in Texas. Under the terms of the agreement, electricity will be supplied at a fixed price for a period of 20 years. As part of the project, an agreement was also signed with a construction contractor in the United States as well as an agreement for the procurement of the solar panels that will be installed.

Project Components

Ahlstrom Group signed a financial closing agreement with a group of lenders consisting of five leading banks (Bayerische Landesbank, ING Capital, Rabobank, Société Générale and Bank Hapoalim) in the amount of about USD 270 million for the solar energy project.

The agreement is in the form of project financing for the construction period. After the construction period, near the time of commercial operation, the loan will be converted into a long-term loan, for five from the construction period.