'Key growth lever' | EDPR pledges $7.4bn as it sets up Singapore clean energy hub for APAC
Iberian utility closes acquisition of local solar player Sunseap which it says will allow it to set up a regional headquarter
Following the closing of its acquisition of a 91% stake in local solar player Sunseap, Iberian renewables major EDPR has pledged to deploy up to 10bn Singapore dollars ($7.4bn) by 2030, establishing a clean energy hub based in the Asian city state for the Asia Pacific (APAC) region.
The company is the fourth largest solar power operator in Southeast Asia, but it and EDPR plan to also embark on wind, energy storage and green hydrogen projects in the region.
“We are very pleased with the conclusion of this agreement with Sunseap,” said Pedro Vasconcelos, chief operating officer for APAC at EDPR:
“The Asia Pacific region is a strategic market for us towards EDPR’s global positioning, with both high demand and growth potential in the renewable energy sector.
“Sunseap will undoubtedly become a key growth lever for EDP, whose presence in the region will in turn drive local economic development.”
The utility stressed that APAC is the world’s fastest growing renewables market accounting for 55% of global capacity additions this decade, with solar representing 65% of the growth. EDPR said it now has access to markets with growth in renewables of over 120GW per year.
The closing of the transaction will allow the company to establish an Asia Pacific headquarter through Sunseap.
“With EDPR’s financial muscle and expertise in renewables, Sunseap will be able to accelerate growth plans and revolutionise the energy landscape in the region, as well as nurture the next generation of talents in the industry,” Sunseap co-founder Frank Phuan said.
Jacqueline Poh, managing director of Singapore’s Economic Development Board (EDB) added: “EDPR’s investment in Sunseap will boost Singapore’s efforts in accelerating the region’s energy transition through renewable energy project development, green finance and carbon trading, while also creating new jobs for Singaporeans in the solar and wind value chain.”
The APAC region’s renewable investments could double to $1.3 trillion by 2030, according to consultancy Wood Mackenzie.
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