The company controlling Portugal’s largest solar power station has entered insolvency after the €175 million Algarve project failed to generate enough revenue to meet its debts.
According to Expresso, the 220-megawatt plant in Alcoutim remains operational, but is now expected to be sold to new investors as advisers attempt to secure its future.
The facility is owned directly by Portuguese company Solara4, whose parent company — the British-registered Welink Energy Portugal 2 UK Limited — is insolvent.
A report by consultancy BDO, which is overseeing the proceedings, describes a damaging combination of lower-than-expected electricity production, technical failures, fires and plunging wholesale energy prices.
The…