£10.6m secured to build and run new energy centre

A £10.6m funding package has been secured to support the construction and operation of a new energy centre in Selby.

The centre is being built to support one of the UK’s largest tomato and pepper growers, which supplies nearly all UK supermarkets, and will sit adjacent to an existing 14.5-hectare commercial glasshouse.

P3P Partners (P3P) one of the UK’s leading suppliers of combined heat and power energy solutions, has secured the £10.6m in funding from Santander Corporate & Commercial.

London-based P3P provides a cost-efficient local energy generation. It designs, builds and operates bespoke energy centres, helping organisations cut energy costs and operate more sustainably. Specialist suppliers and manufacturers include Rolls-Royce, Gruppo AB, Clarke Energy and Steuler, while clients have included Bombardier, Jaguar Land Rover, Hilton Hotels and APS Group.

The new centre in Selby will produce heat and CO₂, which is sold to the glasshouse, and electricity which is exported to the national grid. Along with the £10.6m in funding, Santander Corporate & Commercial is also providing day-to-day banking services as well as risk mitigation strategies through the bank’s specialist derivatives and foreign exchange teams.

The deal was supported by legal adviser Osborne Clarke LLP and by technical adviser Arup.

Julian Harris, Partner, P3P Partners LLP, said: “We believe that P3P offers a compelling proposition for any UK business looking for cost-effective energy solutions and has strong aspirations for future growth. We are seeing increased demand for innovative energy solutions and the initiative in Selby, a new project for an established client, is a testament to our business model and vision.”

Mark Cumbo, Director, Infrastructure & Renewable Energy, Santander Corporate & Commercial, added:  “We’re delighted to help P3P capitalise on further demand for a new facility in Yorkshire. Our long-term structured debt solution will allow P3P to deliver secure and competitively priced heat, CO₂ and electricity solutions. This transaction not only supports our client but also UK food growers and the increase in home grown produce.”