Tallinn-based Sunly, a renewable electricity provider, announced they received almost €85 million in international financing to build four solar parks in Latvia with a total capacity of 329 megawatts (MW) – reportedly enough to meet the annual electricity consumption of up to 180k homes.
The financing package includes loans of €35.2 million from the European Investment Bank (EIB), €35.2 million from the European Bank for Reconstruction and Development (EBRD) and €14.4 million from SEB.
“This financing is a significant step toward strengthening Latvia’s economy and energy supply,” said Toms Nāburgs, Sunly’s country manager for Latvia. “By developing large hybrid solar parks, we are not only increasing the country’s renewable energy production capacity but also enhancing energy security and driving economic growth in the regions. These parks will provide long-term benefits to local communities by supporting socially important projects and initiatives, as well as contributing to the country’s broader electrification and subsequent industrialisation.”
Founded in 2019, Sunly is an independent energy producer developing renewable energy projects in the Baltics and Poland. Sunly also manages a renewable energy and electrification portfolio of startups in Estonia.
The company was established by 4Energia team after 4Energia shares were sold to Enefit Green AS. At the moment of acquisition 4Energia was reportedly the biggest renewable energy company in the Baltics. Sunly has local teams in Estonia, Latvia, Lithuania and Poland.
“Latvia’s bold push for hybrid solar infrastructure is exactly the kind of forward-looking investment Europe needs,” said EIB Vice-President Thomas Östros. “We are proud to support Sunly’s vision – not just to generate clean power, but to build energy systems that are resilient, flexible, and future-ready. This project is a blueprint for how we can accelerate the green transition while strengthening regional energy security.”
The solar park project marks one of Latvia’s most ambitious renewable-energy initiatives to date and will accelerate the Baltic region’s shift to clean power while enhancing Latvia’s energy independence – as per Sunly.
The solar parks are due to be completed by early 2027 and will be located near Matīši village in Valmiera Municipality (54 MW), in Dagda Parish, Krāslava Municipality (90 MW), near Barkava village in Madona Municipality (81 MW) and in Zirņi Parish, Saldus Municipality (104 MW).
While the scope of this financing will support the solar component, the broader ambition is to develop all sites as hybrid parks, by subsequently integrating wind energy and battery energy storage systems, aiming to ensure more stable electricity production, improve grid efficiency, and enhance energy security.
“We’re pleased to build on our partnership with Sunly and support the development of new renewable energy capacity in Latvia,” said Grzegorz Zielinski, EBRD Head of Energy for Europe. “This marks an important step toward strengthening the Baltic region’s energy security and advancing its climate goals. We look forward to contributing our expertise to help scale up this capacity and support the green energy transition.”
According to figures provided by Sunly, Latvia’s installed solar capacity reached approximately 660 MW at the end of 2024, more than doubling from 305 MW in 2023 and 100 MW in 2022. According to the long-term planning guidelines Energy Strategy Latvia 2050, solar capacity is projected to reach around 1.2 GW by 2030, gradually increasing to 2.0 GW in the baseline scenario by mid-century.
Sunly’s large-scale solar projects aim to play a major role in achieving these targets.
The solar parks are financed on a non-recourse basis without relying on government subsidies or long-term power contracts and are designed to thrive in a competitive energy market. Sunly has built more than 300 MW of renewable-energy capacity in Estonia, Latvia and Poland over the past five years, with plans to add a further 700 MW over the next two years.
“SEB in the Baltics has been a financial partner for Sunly since 2019 and we are very proud to support company’s ambitious journey in Latvia with the state-of-the-art hybrid solar parks portfolio,” said Ints Krasts, Management Board member of SEB Latvia. “The solar capacities launched in 2027 will ensure diversity of energy sources and will strengthen energy independence of Latvia. This a signature cooperation for SEB Latvia as well as we are supporting it both as a lender and a hedge provider.”
The project’s total cost is estimated at €203.9 million, with Sunly providing €119.1 million. The EIB and EBRD portion of the new financing for Sunly is backed by a guarantee under the InvestEU programme and promotes climate action and economic and social cohesion.