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Money is flowing into the solar development and construction sector, and this could benefit Berkshire Hathaway’s portfolio of utilities.
The money speeds the construction of utility-scale solar power projects that utilities then purchase to replace antiquated fossil-fuel powered generation plants.
One example is Origis Energy, a Miami based international solar development and construction firm with a photovoltaic portfolio of over 600 megawatts, and Baltisse, the European private investment firm of Mr. Filip Balcaen.
Baltisse has committed to provide up to a total of $100 million in growth capital for Origis. The capital comes as private investment money is ramping up investment in the U.S. solar market.
The funding empowers Origis to strengthen its offerings to utilities and large scale corporate energy buyers seeking solar as a clean energy alternative for their power generation needs.
Origis has already developed more than 100 projects worldwide totaling 600+ megawatts to date of solar capacity for utilities, including Berkshire Hathaway’s Pacific Corp.
“The strength of our balance sheet as an independent power producer in the U.S. is a critical consideration for utility and corporate procurement executives,” said Guy Vanderhaegen, Chief Executive Officer of Origis Energy. “We have crossed major milestones in our work for leading utilities in the U.S. This investment and the board guidance of Filip Balcaen makes Origis an even stronger partner to fulfill the solar objectives of large scale energy users in the U.S.”
Berkshire Hathaway Energy has been busy buying up renewable energy projects, including two portfolios of projects developed by Geronimo Energy, LLC. that were acquired in 2015 and 2016.
© 2016 David Mazor
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.