Spanish utility Iberdrola has commenced work on a 500-megawatt (MW) solar photovoltaic power plant in Badajoz, Spain.



The facility, Iberdrola's first photovoltaic plant in Europe, will use 1.5 million panels spread across a 1,000-hectare site. The company will invest around 300 million ($340 million) euros in the development.



Set to be fully operational by 2020, the Núñez de Balboa plant will be able to produce enough energy for roughly 250,000 people, Iberdrola announced Monday.



"As costs have come down, and technology has matured, it is clear that solar is going to be a pivotal technology in the energy transition," Iberdrola's chairman, Ignacio Galan, said in a statement.



"Our extensive experience in developing renewable energy means that we are well-placed to integrate this technology into our global portfolio," he added.



In February, Iberdrola said it would make investments of 34 billion euros between 2018 and 2022, with 13.3 billion euros of that figure going toward renewables.

The company is set to install 3 gigawatts (GW) of wind and solar in Spain by 2022, with that figure rising to 10 GW by 2030.