Solar energy boom gains momentum as huge projects progress

Financing has been closed for the biggest solar energy project in Israel, while Enlight is moving ahead with the massive CO Bar project in Arizona.

Major steps were taken yesterday as two huge solar energy projects moved forward towards the production stage. In Israel, Rapac Energy and Mivtach Shamir unit Shamir Energy closed financing with Israel Discount Bank for construction of Israel’s biggest solar energy project that will include a full gigawatt-hour of storage capacity.

Rapac Energy and Shamir Energy signed a financing agreement with the bank for NIS 800 million to build the large solar energy production facility in the Negev, on 1,400 dunams of land (350 acres) owned by a "large industrial company in the Negev" south of Beersheba. The facility will have a production capacity of 174 megawatts, and will have a storage capacity of 974 megawatt-hours. The project will be 75% owned by Rapac, and 25% owned by Shamir Energy.

Discount SVP business division head Hilla Eran Zick said, "Financing for this project, together with our leading partners, reflects our uncompromising commitment to creating a long-term positive impact on the environment and the development of the Negev."

Rapac Energy CEO Itai Hagai added, "We are pleased to complete the financial close and launch the construction of the largest photovoltaic project in Israel, operating in the market regulation model in the transmission network. The project is based on an innovative dual-use solution, which allows for optimal utilization of the land resource and a significant shortening of the schedules for connecting a facility of this scale to the grid.

Shamir Energy CEO Lior Farber said, "This is one of the largest and most advanced infrastructure projects ever seen in Israel, combining solar production with storage on a significant scale."

Everything is bigger in the US

In the US, Enlight Renewable Energy (Nasdaq: ENLT; TASE: ENLT) announced the achievement of significant milestones in the CO Bar project in Arizona, with an investment of between $2.9 and $3 billion - between $1.5 and $1.6 billion after tax benefits.

Due to the early closing, Enlight says, they are reaching a safe harbor that will allow them to obtain the significant tax benefits that the US government granted but recently revoked for companies that do not complete their projects in the coming years. This is a huge project, which will be developed in five phases with a total supply of 1.2 gigawatts (larger than a new conventional power plant in Israel) and with an energy storage capacity of 4 gigawatt-hours - more than 4 times the largest project currently planned in Israel.

Enlight has already signed off on its operation, and says, and the complex will produce green electricity for more than 215,000 households in Arizona. It is expected to generate ongoing revenue of between $264 million and $278 million each year from the sale of electricity. According to Enlight, it will be one of the largest projects in the US.

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Enlight CEO Adi Leviatan said, "CO Bar represents a major step forward for Enlight’s US platform. Reaching full interconnection and completing the commercial framework for such a large-scale, integrated solar and storage complex demonstrates our ability to execute at scale, deepen partnerships with leading utilities, and deliver long-term value from high-quality renewable assets. As demand for reliable, clean power continues to accelerate, CO Bar and our expanding US portfolio firmly position Enlight for sustained growth in the US market."

On Nasdaq yesterday, Enlight’s share price jumped 6.08% to $58.95, giving a market cap of $7.789 billion.

Published by Globes, Israel business news - en.globes.co.il - on February 3, 2026.

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