Axfood to power up 3.9-MW solar roof in southern Sweden

Swedish food retail group Axfood AB (STO:AXFO) today announced its third major solar investment in the space of a year, as its purchasing and logistics company Dagab is installing a 3.9-MW rooftop solar array at its new fruit and vegetable warehouse in Landskrona, southern Sweden.

The new 7,000-panel facility is due to be completed in October. Dagab will buy its output under a 15-year power purchase agreement (PPA) that includes the opportunity to sell any surplus generation. The landlord, Logicenters, and Solkompaniet will be responsible for the installation, operation and maintenance.

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As announced in April, Dagab is also installing Sweden’s largest rooftop solar power system at its new logistics centre in Balsta, north of Stockholm. It is 8.9 MW in size and will come onstream in 2023.

In addition, Axfood is in the permitting process for the country’s largest onshore solar farm. The 40-MW project is to be delivered in partnership with Alight and is expected to start operations in 2024.

The company said that while there is an increasing need for green electricity, participants face political obstacles. Asa Domeij, head of sustainability at Axfood said “the transition to more sustainable energy production is still hampered by the remaining tax on solar energy for own use, despite the fact that there is nothing stopping politicians from abolishing it.”