Engie eyes more African renewable energy deals

Engie SA, the French utility, anticipates more deals in Africa’s renewable energy sector following its $1 billion acquisition of BTE Renewables from Actis LLP, made in partnership with Meridiam SAS.

While focusing on integrating the assets, Engie plans to develop a pipeline of 7 gigawatts of projects, with 3 gigawatts in North Africa and 4 gigawatts in South Africa.

The company aims to invest in transmission projects in South Africa once they are open to private participation. Engie is also selling its stakes in two solar projects in Senegal, totalling 60 megawatts.

The company already has 3.7 gigawatts of generating capacity operational across the continent, with more than 1 gigawatt in development.

Construction of the planned projects would cost approximately $1 million per megawatt for wind power and $750,000 per megawatt for solar.

However, South Africa’s grid limitations are a challenge, and Engie is looking for opportunities to address transmission issues as the government explores private sector involvement.

Attribution: Bloomberg

Subediting: M. S. Salama