The project is to be included into the program of government support of renewable energy sources on the retail electricity market. All energy generated by the plant will be sold to the local grid operator at special prices under a 15-year contract. Ensuring a minimal operating rate and using at least 70% of Russia-based construction equipment and services are among mandatory project requirements. The launch of the plant is set for 2022.
The Krasnodar SPP project is a part of LUKOIL's sustainability program. The Company is committed to the development of green power generation in its operation regions when they have suitable climate and renewable energy sources support programs. The plant will provide about 3 million kWh of clean energy per year. This is equal to reducing CO2 emissions by 1.5 thousand tonnes per year.