17 Sep REATILE GROUP COMPLETES PHASE 2 INVESTMENT IN JUWI SOUTH AFRICA
juwi Renewable Energies has concluded a second investment transaction with Reatile Renewables, whereby Reatile has taken up a 43% equity stake in juwi’s solar PV Operations & Maintenance business. The agreement follows the conclusion of a previous deal between juwi Renewable Energies and Reatile Renewables earlier this year, in which Reatile took up a 20% shareholding in one of juwi’s solar PV EPC companies.
Simphiwe Mehlomakulu, Chairman of Reatile Group says that the deal deepens Reatile’s investment and involvement in the renewable energy sector in South Africa, and makes for a very attractive service offering in the O&M sector: “Through the O&M transaction we intend to operate and maintain projects, not only for juwi, but also for other players in the market place. Reatile has taken a significant equity stake in juwi O&M, which, together with an existing 8% community stake, results in juwi O&M being a 51% black-owned company. The new structure represents all the aspects of the social compact in South Africa, as well as the competitive pricing and technology advances that juwi is already known for. We believe this will be very attractive proposition for existing and potential clients operating in the renewable space. says Mehlomakulu.
Greg Austin, managing director of juwi, says that the deal bodes well for future growth in the renewables sector: “We are pleased that Reatile has taken up a substantial stake in our O&M subsidiary which, during 2020, will increase its South African market share significantly. Operations and maintenance of renewable energy assets is a critical component of ensuring reliable delivery of clean energy and remains a powerful avenue for sustainable job creation in often remote areas. This investment and the earlier EPC deal sets the stage for a deeper relationship with Reatile, in terms of their participation in our projects in South Africa and elsewhere on the continent.”
juwi is an international leader in the development and implementation of solar PV and onshore wind projects for over 20 years and has installed more than 4.8 Gigawatts of renewables worldwide, while operating and maintaining some 3.2 Gigawatts globally. juwi has extensive experience with the REIPPPP programme and understands the South Africa operating environment, with its specific regulatory framework, logistical challenges, environmental issues, SED community needs and the urgent need for broad-based transformation.
“Our O&M services cover technical, commercial and remote monitoring aspects as well as the planning, controlling, supply of inspections, maintenance and repairs. juwi South Africa has developed a strong O&M business unit with deep ‘back office’ support containing specialists in the areas of PV technology, Safety, Health and Environment, networks and SCADA, grid design and compliance, and so on,” says Austin. “We also have technical support from juwi colleagues with deep expert knowledge beyond the South African team, located in our head office and other international markets.”
“Being one of the global leaders in designing and building solar PV projects enables us to provide best in class PV O&M plant service, as we take a project lifetime view by optimising the technical, commercial and legal (performance-related) matters for the benefit of the investors and owners,” says Austin.
“With this backdrop and our highly experienced and fully trained, competent staff as site managers and supervisors, we have optimised the PV plants we operate in South Africa to achieve an average availability of 99.78% across our portfolio.”
To view juwi press release click here.