Estonian Clean Energy Provider Sunly Secures near €85 Million Funding

The funding includes €35.2 million each from the European Investment Bank (EIB) and the European Bank for Reconstruction and Development (EBRD), along with €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.”

Sunly was formed by the former team of 4Energia following the sale of its shares to Enefit Green AS. At the time, 4Energia was reportedly the largest renewable energy firm in the Baltics. Today, Sunly operates with 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.”

According to Sunly this solar park project is one of Latvia’s most ambitious renewable energy efforts to date, aiming to accelerate the Baltic region’s transition to clean energy and strengthen Latvia’s energy independence.

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The four solar parks are scheduled for completion by early 2027 and will be located near Matīši village in Valmiera Municipality (54 MW), Dagda Parish in Krāslava Municipality (90 MW), near Barkava village in Madona Municipality (81 MW), and in Zirņi Parish, Saldus Municipality (104 MW).

While the current financing covers the solar infrastructure, Sunly plans to evolve these sites into hybrid parks by adding wind power and battery energy storage. This integrated approach is designed to stabilize electricity generation, boost grid efficiency and improve overall 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.”

Sunly reports that Latvia’s installed solar capacity surged to around 660 MW by the end of 2024, more than doubling from 305 MW in 2023 and 100 MW in 2022. Under Latvia’s long-term energy roadmap, Energy Strategy 2050, solar capacity is expected to reach 1.2 GW by 2030 and grow to 2.0 GW by mid-century in the baseline scenario.

Sunly’s utility-scale solar projects are set to play a key role in meeting these national targets.

The solar parks are being developed on a non-recourse financing basis, without government subsidies or long-term power purchase agreements, positioning them to succeed in a competitive energy market.

Over the past five years, Sunly has built over 300 MW of renewable capacity across Estonia, Latvia, and Poland, with plans to add another 700 MW in 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 total cost of the project is estimated at €203.9 million, with Sunly contributing €119.1 million. The financing from the EIB and EBRD is supported by a guarantee under the InvestEU programme, aimed at advancing climate action and fostering economic and social cohesion.

About Sunly

Founded in 2019, Sunly is an independent power producer focused on developing renewable energy projects across the Baltics and Poland. The company also manages a portfolio of renewable energy and electrification startups based in Estonia.