Doral moves ahead with 2.7 GW Indiana solar farm as U.S. energy demand surges
The Israeli company received permits for a 1.1 GW second phase and is also targeting data centers as a future source of demand.
Renewable energy company Doral informed investors this morning that it has received construction permits for the second phase of the large-scale solar farm it is developing in Indiana in the U.S. Midwest.
The permits cover two projects with a combined capacity of 1,100 megawatts. Once the projects are completed, which is expected in 2029, the solar farm’s total capacity will reach approximately 2,700 megawatts. An additional section with a capacity of approximately 216 kilowatts is expected to be added later. The farm’s total area will span roughly 80,000 dunams, an area comparable to the combined size of Tel Aviv, Holon and Bat Yam.
Doral estimates that the new phase will generate NIS 350 million in revenue and NIS 300 million in annual EBITDA. Construction costs are projected to range between NIS 2.5 billion and NIS 3 billion.
The solar field, one of the largest in the world, will be an agrivoltaic facility, meaning it will combine agriculture with electricity generation. Landowners will continue to grow crops such as corn, wheat and vegetables between the solar arrays. Other sections of the site will be used for grazing, with livestock helping control vegetation growth and ensuring that the panels remain exposed to sunlight.
Landowners receive fixed payments from Doral for the use of their land, while the company benefits from revenue generated by selling the electricity produced at the site.
Unlike many solar projects, the facility will not initially include energy storage alongside the solar panels. Instead, the electricity will be fed directly into the PJM grid in the U.S. At this stage, no contracts have been signed for direct sales to major customers such as AI data center operators.
Doral CEO Yoni Hantis told Calcalist: “We secured eligibility for federal tax incentives, which lower construction costs, by moving quickly on development processes. However, reliance on tax incentives will eventually disappear. Electricity prices in the U.S. are rising, and solar generation is the most efficient and cost-effective option.”
The company does not disclose the scale of the tax benefits. Among the beneficiaries will be investors in the project designated as “tax partners,” Bank of America and Truist Bank. The partnership is based on an arrangement that allows investors to claim tax benefits associated with a U.S. infrastructure project for a specified period.
Regarding data centers, major energy consumers whose demand is rising due to the need to train and operate artificial intelligence models, Hantis said: “We want to build data centers, to create a data center platform within a solar facility that is independent of the grid and fluctuating energy tariffs.”
In its reports for the first half of 2026, Doral posted higher revenue and reduced losses. The improvement in its results stems, among other factors, from the consolidation of the results of Zephyrus, which develops and constructs solar projects in Poland, as well as increased revenue from electricity supply contracts with large customers.
About two months ago, Doral announced the acquisition of a controlling interest in its U.S. subsidiary, Doral LLC. Doral increased its stake in the company from 26% to 53%, with a total investment of $738 million. The transaction improves Doral LLC’s liquidity and enables the Israeli parent company to capitalize on growing demand for energy in the U.S.
