Technology giant, Siemens and Saudi Arabia solar PV modules manufacturer, Desert Technologies, have launched a joint venture (JV) Capton Energy, to develop and invest in solar and smart infrastructure in Africa, the Middle East and Asia. The announcement was made last week at Expo 2020 Dubai.
The JV, Capton Energy, aims to invest in projects of more than 1 gigawatts (GW) of clean energy portfolio. The company has established a head office in Dubai, United Arab Emirates and will also offer third party investors the opportunity to invest in its portfolio.
According to the parties, the company will invest in clean energy projects and in areas that need it most and will primarily target investments in existing and greenfield solar power projects. The typically in a range of 20 to 100 megawatts (MW) of electricity generation capacity.
“Solar power enables places without reliable energy networks to leapfrog the legacy infrastructure common in developed nations and benefit from sustainable, clean and affordable power,” said Nour Mousa, the founder of Desert Technologies. “We are eager to work with Capton and Siemens to back projects and drive positive change in line with our ESG ideals. Such efforts to fully optimise the potential of the sun and technologies such as sustainable mini-grids and smart distributed energy systems will anchor our ideals and embody positive impact.”
Capitalising on surging demand for solar energy
Demand for solar energy is surging in the Middle East, Africa and Asian nations with abundant sunshine. In the Middle East alone, total installed capacity for solar power generation more than quadrupled from 2016 to 2020, according to data from the International Renewable Energy Agency in Abu Dhabi.
Efforts to bring sustainable electricity supplies to rural areas through the use of off-grid and battery storage systems are helping to spur this growth, as more countries shift away from fossil fuels that contribute to global warming.
“Capton Energy is already advanced in assembling a pipeline of solar-themed investments and is in progressive discussions to launch the inaugural fundraising,” said Umer Ahmad, CEO and CIO of Capton Energy. “With Siemens and Desert Technologies as strategic partners, and the exceptional team we are bringing together within Capton, we are confident that we have the complete toolkit to bring an optimum blend of development, investment and technological capabilities, so we can meet the growing needs for solar energy in our target markets.”
