Ethical Power’s Post

Equis Australia and Victoria’s State Electricity Company (SEC) have secured a $400 million non-recourse debt financing package for a grid-scale battery energy storage system (BESS). The two companies hailed the ‘landmark debt transaction’ as the first financial close of a 4-hour BESS in Australia’s National Electricity Market (NEM). The Melbourne Renewable Energy Hub (MREH), co-owned by Equis Australia and SEC, secured the debt package from a lending syndicate comprised of Export Development Canada | Exportation et développement Canada, Societe Generale, Standard Chartered, and Westpac (MREH Debt Financing). The MREH debt financing will finance the construction of the 200MW/800MWh BESS project which the SEC will be responsible for operating. With a total capacity of 600MW across three projects, including the operational MREH A3, the initiative stands as Australia’s most extensive BESS development upon completion. “We have found the equity partnership model to be a very effective vehicle for government industry collaboration to bring forward renewable energy projects,” said David Russell, co-founder and Managing Director of Equis. “We think this model should be considered by other state governments because it allows their investments to earn sustainable returns that can be reinvested in further renewable energy initiatives.” Russell added that Equis has a ‘strong pipeline of projects underway’ and has already completed 116 solar projects and 76 wind projects across eight Asia Pacific countries (including Australia) totalling 15.4GW for Equis Energy (now Vena Energy) and a further 2.2GW across other platforms. Equis is also currently developing over 60 renewable and waste-to-energy assets across Australia, Japan, and Korea. #cleanenergy

US-based Aypa Power, a Blackstone portfolio company, has secured a $650 million corporate credit facility to help support its work in deploying utility-scale energy storage and hybrid renewable energy projects. Aypa’s new facility includes access to letters of credit, a revolver, and a term loan, replacing the company’s previous $320 million facility. The transaction was led by Apterra Infrastructure Capital LLC, Banco Santander S.A., ING Capital LLC, Nomura Securities International, Inc., Societe Generaleérale, and Sumitomo Mitsui Banking Corporation – SMBC Group, acting as Coordinating Lead Arrangers, Bookrunners, and Green Loan Coordinators. The refinanced and upsized facilities now comprise a $350 million letter of credit facility, a $100 million revolver, and a $200 million term loan, totalling $650 million. With the proceeds, Aypa aims to expand and advance its project pipeline across the US and Canada. “We greatly appreciate the support of our lenders,” said Marc Atlas, Chief Financial Officer of Aypa Power. “This facility, backed by a 22 GW pipeline of assets in development, construction, and operations, featuring robust long-term contracted cash flows, enhances our ability to lead the market in deploying battery storage and hybrid renewable energy systems.” “This facility highlights our exceptional performance and the unwavering trust of our financial partners,” noted Moe Hajabed, CEO of Aypa Power. “We have been at the forefront of energy storage since our first project came online in 2018. With this new funding, we are positioned to accelerate our pipeline and deliver on a backlog of over 3 gigawatts of cutting-edge battery storage and hybrid clean energy projects in the next 24 months.” Aypa was advised by Kirkland & Ellis LLP as legal counsel and PEI Global Partners as financial advisor. The lenders were advised by Norton Rose Fulbright US LLP as legal counsel. #cleanenergy

Via Utility Dive: " rPlus Energies secures $1B for 800-MW solar-plus-storage ‘peaker plant’: In addition to the recent $1 billion Green River Energy Center deal, recent private equity investments will allow rPlus Energies to transition to an owner-operator model. " #Energy #Utility #Utilities

German company ENERPARC AG has secured bridge financing for a solar and energy storage project portfolio totalling 325 MW. ENERPARC received the financing from French investment firm Eiffel Investment Group. ENERPARC’s portfolio comprises 15 solar PV projects located in the German states of Rhineland-Palatinate, Schleswig-Holstein and Brandenburg, varying in size from 6 MWp to 39 MWp. The majority of the projects have either been constructed or are nearing completion. “With the successful completion of this transaction, we have finalised the financing for an extensive portfolio,” remarked Marco Langone, Head of Finance at ENERPARC. “Most importantly, we have expanded our network of financing partners by adding a new partner from the debt fund sector. This enables us to react even more flexibly to the constantly changing market conditions and to find optimal financing solutions for our growing portfolio.” ENERPARC was supported by Capcora as financial advisor and Simmons & Simmons as legal advisor. Eiffel Investment Group was advised by Bird & Bird as the lenders legal counsel. According to ENERPARC, the portfolio will benefit from various revenue streams, including feed-in tariffs under the Renewable Energy Act (EEG), as well as from innovation tenders due to additional BESS capacity installed, and several Power Purchase Agreements (PPAs), both including baseload and pay as forecasted offtake schemes. “We are pleased and proud to initiate this new collaboration with ENERPARC, the leading European independent solar IPP,” noted Pierre-Antoine Machelon, Managing Director of Eiffel Investment Group. “This transaction is another proof of Eiffel’s ability to provide an innovative construction financing adapted to the new business models (PPA, BESS). This transaction is the first German transaction of Eiffel Energy Transition III, the third vintage of our Eiffel Energy Transition programme.” Alexander Enrique Kuhn, Managing Partner at Capcora, added: “This transaction once again demonstrates our ability to successfully conclude complex financing projects and provide our clients with the best possible solutions. We are thrilled to witness the alliance of two influential entities in the European renewable market, highlighting our dedication to fostering industry collaboration.” #cleanenergy

Via ESN: " Australia opens South Australia-Victoria tender for firm renewables through Capacity Investment Scheme: The Australian government has announced that the Capacity Investment Scheme (CIS) South Australia-Victoria tender is now open for bids. " #EnergyStorage #Energy #BatteryStorage

UK company Statera Energy has secured an up to £300 million debt package though a syndicate led by Lloyds Bank for the Thurrock energy storage and flexible generation project near Greater London. The first £144 milllion phase of the financing will be used to the 300 MW/600MWh Thurrock BESS. Lloyds Bank acted as the sole structuring bank for the debt financing facilities and mandated lead arranger and hedge provider, with additional participation from NatWest, Santander, and Siemens Financial Services through Siemens Bank. Statkraft provided a long-term revenue floor that supported the financing of the deal. The balance of the financing will fund the development of a 270 MW flexible generation plant which secured a capacity market contract early this year. “Lloyds’ commitment to Statera, through one of the largest battery storage debt financing deals in the UK to date, is testament to the quality of our projects," said Statera’s CEO and Founder, Tom Vernon. "Our Thurrock BESS project is strategically located near to Greater London providing further energy system resilience to this key demand centre. "System flexibility in the form of energy storage technologies is a crucial part of achieving energy security, decarbonising our power system, and enabling the UK’s transition towards net zero. "We are delighted to have worked with Lloyds, the syndicate of lenders, and Statkraft in achieving this significant milestone.” The BESS project forms part of a wider developement at the Thurrock site where it has secured consent for 900 MW of energy storage and flexible generation assets, with the site classified by the UK Government as a ‘Nationally Significant Infrastructure Project’. “By storing excess energy, Statera’s technology ensures the UK’s increasingly renewables-led power system can deliver all day and all year round, promoting security and stability, reducing carbon emissions and, ultimately, helping to lower people’s energy bills," added Managing Director, Head of Infrastructure and Project Finance at Lloyds Bank, James Taylor. "The financing we’ve arranged will provide a platform for Statera to continue to develop its portfolio of assets across the UK. We’re excited to see what the team achieves next and to support more businesses and infrastructure projects leading the UK’s renewable energy transition.” #cleanenergy

Matrix Renewables Secures Financing and Tax Credit Transfer for 260MWDC Solar Project in Ada County, Idaho, Advancing Renewable Energy Initiatives Matrix Renewables, the TPG Rise-backed global renewable energy platform, has announced the successful closure of construction to term loan financing totaling $283 million for its Pleasant Valley Solar project in Idaho. Additionally, the company has executed a production tax credit (PTC) transfer agreement. Led by MUFG as Coordinated Lead Arranger, the debt transaction includes a construction loan, term loan, and LC support, with HSBC, SMBC, National Bank of Canada, Commonwealth Bank of Australia, and Mizuho acting as Mandated Lead Arrangers. The tax credit transfer agreement involves a property/casualty insurance company as the tax credit buyer and Stonehenge Capital as the […] Read the full story here: https://lnkd.in/dxpXHv_t #solarenergy #alternativeenergy #solarpv #pvsolar #photovoltaic #cleanenergy #cleantech #climatechange #middleeast #africa #india #asiapacific #asia #america #idaho #matrixrenewables #northamerica #solarenergy

Earlier this month, we discussed the benefits of the new interconnector to be built linking Germany and the UK.⚡ Today we can see that Xlinks First have now selected their lead financial advisors for the debt financing of the Morroco - UK interconnector.🔌 'Upon completion, the project’s wind and solar generation, along with flexible battery storage, are expected to supply 3.6 gigawatts (GW) of clean power, satisfying around 8% of Britain’s current electricity demands.' With the share of renewable energy growing with the likes of these projects, we could be closer to our net zero goals than we initially thought.🍃 #renewables #energy #power #supplydemand #interconnectors #balancingmechanism

Renewable Power Capital (RPC) has closed a long-term €555 million financing package with a ‘suite of experienced lenders’ for a 553 MW onshore wind portfolio in Sweden. “This portfolio is RPC’s largest investment to date, so we’re thrilled to be taking a crucial step towards operation,” said Sylvain Delion, Managing Director – Head of Investment and Structured Finance at RPC. “Closing a long-term financing for our flagship onshore wind portfolio in Sweden is another major milestone in our investment and operating strategy, supporting RPC’s approach to obtain long-term stable risk adjusted returns. “The level of external debt raised and the complexity of the financing structure are testament to RPC’s expertise and progress as a renewables company. We’re delighted to have closed this financing with such an impressive number of partners, and we look forward to working alongside them to drive decarbonisation.” CIBC, Danske Bank, Export Development Canada | Exportation et développement Canada, NatWest, and NORD/LB were engaged as the mandated lead arrangers on the deal, with Apex Group Ltd acting as the facility and security agent. RPC’s greenfield Swedish portfolio comprises four wind farms that are currently under construction in the Kramfors and Sollefteå municipalities. RPC was advised by Augusta & Co, Herbert Smith Freehills, and Roschier, Attorneys Ltd., while the lenders were advised by Wood, WSP, CMS, EY, ASTERRA, and Baringa. “We are delighted to have assisted RPC in securing this substantial debt financing package and expanding their network of banking partners,” remarked Romane Guitard, Partner at Augusta & Co. Once online, the Swedish wind projects will be capable of providing clean power for 82,000 households per annum. #cleanenergy

Equis Australia and Victoria State Electricity Commission secure additional funds for Melbourne Renewable Energy Hub BESS The Melbourne Renewable Energy Hub (MREH), a co-owned venture between Equis Australia and the Victoria State Electricity Commission (SEC), have secured AUD400 million (USD260 million) worth of debt financing for its utility scale battery energy storage system (BESS). The complete MREH project has approval for 2.4GWh/1.2GW, however this has been split into two phases. The first phase will have a 1.6GWh/600MW capacity which is split into three stages. The AUD400 million is to fund one of the three stages in Phase 1. Read the article here with analysis from our analyst team: https://lnkd.in/en4N-b5Y   #BESS #EnergyTransition #BatteryStorage #RhoMotion