Latest news with #Alterra
Zawya
4 days ago
- Business
- Zawya
UAE climate fund Altérra backs Absolute Energy in Italy renewables project
Alterra, one of the world's biggest private climate funds has made its second direct investment in Europe through Italian renewable energy firm Absolute Energy and plans more deals ahead, its chief executive told Reuters. The fund, set up in 2023 by the United Arab Emirates with $30 billion, has so far invested $6.5 billion, mostly through climate and transition funds run by leading global investment firms BlackRock, Brookfield, and TPG. The deal for Absolute Energy will have the fund investing $50 million in direct equity from its Acceleration Fund alongside U.S. infrastructure firm I Squared Capital. The investment will help accelerate the development of an initial 1.4 gigawatts in solar and battery storage across Italy. Until now, Alterra had only directly invested in two companies - $100 million each in Indian renewables platform Evren and French renewables company Neoen- but it now plans to scale up, Majid Al Suwaidi said. "We are now transitioning from the first phase of the development of Alterra into a new phase in our work," he said. "This is our third co-investment so far in rapid succession... it's really charting a new path for us." Absolute Energy's initial project is expected to reduce climate-damaging emissions by up to 380,000 tons a year and it has a broader development plan of 6 GW, Alterra said. Set up at the UAE-hosted COP28 climate talks, Alterra, which now has a team of 14, aims to mobilise $250 billion globally by 2030 to help accelerate the energy transition. Al Suwaidi said finding deals which fit its mandate had been "more challenging" than expected and that it was looking at smaller deals of $50 million or more in the areas of industrial decarbonisation, climate technology, sustainability and renewable energy "to get things going". "We're becoming smarter about what we want from a deal and clearer about what we are looking for," he said. Alterra said for every dollar invested by its Acceleration and Transformation funds it has so-far attracted $8 and $4, respectively, from other investors. (Reporting by Simon Jessop and Virginia Furness Editing by Tomasz Janowski)
Reuters
4 days ago
- Business
- Reuters
UAE climate fund Altérra backs Absolute Energy in Italy renewables project
LONDON, June 3 (Reuters) - Alterra, one of the world's biggest private climate funds has made its second direct investment in Europe through Italian renewable energy firm Absolute Energy and plans more deals ahead, its chief executive told Reuters. The fund, set up in 2023 by the United Arab Emirates with $30 billion, has so far invested $6.5 billion, mostly through climate and transition funds run by leading global investment firms BlackRock (BLK.N), opens new tab, Brookfield ( opens new tab, and TPG (TPG.O), opens new tab. The deal for Absolute Energy will have the fund investing $50 million in direct equity from its Acceleration Fund alongside U.S. infrastructure firm I Squared Capital. The investment will help accelerate the development of an initial 1.4 gigawatts in solar and battery storage across Italy. Until now, Alterra had only directly invested in two companies - $100 million each in Indian renewables platform Evren and French renewables company Neoen- but it now plans to scale up, Majid Al Suwaidi said. "We are now transitioning from the first phase of the development of Alterra into a new phase in our work," he said. "This is our third co-investment so far in rapid succession... it's really charting a new path for us." Absolute Energy's initial project is expected to reduce climate-damaging emissions by up to 380,000 tons a year and it has a broader development plan of 6 GW, Alterra said. Set up at the UAE-hosted COP28 climate talks, Alterra, which now has a team of 14, aims to mobilise $250 billion globally by 2030 to help accelerate the energy transition. Al Suwaidi said finding deals which fit its mandate had been "more challenging" than expected and that it was looking at smaller deals of $50 million or more in the areas of industrial decarbonisation, climate technology, sustainability and renewable energy "to get things going". "We're becoming smarter about what we want from a deal and clearer about what we are looking for," he said. Alterra said for every dollar invested by its Acceleration and Transformation funds it has so-far attracted $8 and $4, respectively, from other investors.
Yahoo
16-05-2025
- Business
- Yahoo
Ski resorts investing in snowmaking due to climate change and more
Over the past two summers, Alterra Mountain Company has shelled out $37 million to upgrade Winter Park's antiquated snowmaking system, one that was installed in the late 1970s when lift tickets cost less than $12. The goal was to extend the length of ski seasons, enabling the resort to open well before Thanksgiving and stay open deep into spring. But the snow gods have smiled on Winter Park recently. As of Thursday, the resort had received 340 inches of snow this season, the most of any ski area in Colorado. Its base depth of just under six feet stood at 11% above normal for the date. And so, even as other ski areas are shutting down for the season — eight have already closed and five more will close on Sunday — Winter Park is still going strong. It will stay open two more weeks, while the Mary Jane side of the mountain will remain open as long as conditions permit. Last year, that was May 28. Resort companies like Alterra and Vail Resorts that are investing in expansions of their snowmaking systems acknowledge the threat of climate change is a consideration in their thinking, but the more immediate goal is to extend the length of seasons in the near term. 'There are benefits to it being a hedge against climate change, but that's not why we did it,' said Winter Park spokeswoman Jen Miller. 'It's kind of an interesting story for us, because we are now one of the resorts that has the longest seasons in Colorado. We're opening earlier and we're staying open later.' Vail Resorts invested more than $100 million in snowmaking company-wide over the past 10 years. In 2019, Vail Mountain underwent the largest snowmaking expansion project in the resort's history with a heavy focus on two trails from the summit down to Mid-Vail. The company also has invested in snowmaking at Keystone, so that it can offer skiing at the top of that mountain in October, and at Breckenridge, where it aims to offer skiing into May. 'We've been able to extend our season by 12 days at our Rocky Mountain resorts,' said Bill Rock, president of the mountain division at Vail Resorts. 'The industry (overall) has invested in snowmaking as well, but the industry in the Rockies has added about five days. 'We look to provide more days, and more consistent conditions, for our guests,' he continued. 'We try to open Keystone as early as we can, and thanks to our investment in automated snowmaking, we're able to do that. We go into May at Breckenridge, and that's because of our investments in snowmaking there. We've been able to have some of our longest seasons at Vail over the last few years.' Mountaintops tend to be colder than base areas and can hold snow longer. That's why early-season skiing at Keystone and Vail can involve skiing at the top of the mountain, but riding the lift or gondola down to the base rather than skiing. In 2020, the Aspen Skiing Company installed snowmaking at the top of Aspen Mountain for similar reasons. 'It was very much intended to create an upper-mountain opening and closing scenario in lower snow years,' said Aspen Snowmass spokeswoman Hannah Dixon, adding that there are provisions to do the same at Snowmass in that resort's master plan. According to the Lakewood-based National Ski Areas Association, the average length of ski seasons in the Rocky Mountain region over the past decade has fluctuated between 122 and 132 days, excluding the COVID-shortened season of 2019-20 (103 days). The average length over that period has been 127 days, but the past three seasons stood at 130 days or more. Miller said Winter Park exceeded 200 days the past two seasons, and it will again this season if Mary Jane hangs on until late May as it did last year. Winter Park has seen above-average snowfall the past three seasons, too. 'This is our 85th season,' Miller said. 'If you go back to the early days of skiing in Colorado, we didn't start skiing until late December or January. Natural snow is variable, and snowmaking has allowed us to broaden the season. It's part of doing business as a ski area in the west.' Although ski areas operate their snowmaking guns primarily in early season, resort officials say those efforts continue to pay dividends in the spring because manmade snow is denser. As a result, it is more durable and holds up better when warmer temperatures arrive in the spring. 'When you build a super-solid, consistent base on the front end, you see less snowmelt and fewer issues when temperatures warm in the spring,' said Vail Resorts spokeswoman Lindsay Hogan. 'It has benefits on both sides of the season.' Eldora Mountain Resort, the Front Range ski area that opened Nov. 7 this season and will close on April 20, is seeking approval to expand its water storage capabilities for snowmaking in the future. 'That is just a common-sense hedge against what we're seeing in terms of climate trends,' said Eldora spokesman Sam Bass. 'We need the opportunity to store more water in case there is a summer when our primary snowmaking water storage doesn't fill up all the way. Any ski resort that's thinking about the future, which is every one, is probably thinking about ways to ensure that they have adequate water supplies and the ability to make snow.' The ability to offer early-season skiing is a key part of Eldora's competitive strategy. This season it opened a week earlier than scheduled. Last season, it opened two weeks ahead of schedule. 'That time of year, we're essentially the same size as Winter Park or Copper, or any of the big guys, because we all only have a couple of trails open,' Bass said. 'The Ikon passholder, early in the season, if they only have two or three Ikon options to choose from, they say, 'Why would I drive to Winter Park or Copper when I can just drive to Eldora for the same amount of terrain or more?' It's an opportunity for us to make hay early and provide a good product for the people who really want to get out and get after it early-season.' The looming specter of climate change remains a concern for the industry, however. 'Climate change has a real impact on our business, and it's something that we're concerned about,' said Rock, who is second in command at Vail Resorts to chief executive Kirsten Lynch. 'We're uniquely positioned to serve our guests during this volatility that it represents. The $100 million in snowmaking across the company has allowed us to provide reliable conditions for our guests throughout the whole season.' The same is true of Winter Park's massive investment in snowmaking. 'It puts us in a much better position long-term, depending on how snowfall will be in the next 10, 20, 30 years,' Miller said. 'It's a tricky subject. It's something that ski areas have done for a very long time, but it's become more of a reality that this is what we're going to need to be able to operate in the future.'
Gulf Today
29-04-2025
- Business
- Gulf Today
India, UAE enhance green partnerships
In line with their climate change objectives and to sync with the global climate agenda, India and the United Arab Emirates (UAE) have been having a series of discussions and agreements with each other and with other countries to enhance mutual cooperation in environmental issues. Late last year, the two countries agreed to cooperate on a range of issues, including the supply of liquid natural gas (LNG), civil nuclear cooperation and development of food parks. Bilateral trade and investments have grown over the last two decades — $85 billion in 2023, compared to about $7 billion in 2003. The UAE is now India's third-largest trade partner after China and the United States. With an estimated investment of $18 billion in 2023, the UAE is also the seventh-largest investor in India. The Comprehensive Economic Partnership Agreement with India, the first such deal that the UAE signed in 2022, amid several since then, could lift bilateral trade to $115 billion before 2030. Shifting away from traditional areas of engagement of oil, trade and expatriates, the two countries have emerged as leaders in global renewable energy efforts. Over the last decade, they have also found multiple channels to explore cooperation in green hydrogen, solar and wind energy, as well as grid connectivity involving undersea cables. Together with food processing projects, the two countries are now engaged in a new and strategic food security-for-energy security arrangement that opens doors for greater synergy in trade and investments. India's current renewable energy capacity is targeted to reach 500 GW by 2030. It is also targeting a non-fossil electricity generation capacity of 50% by the end of the decade. Partnering with the UAE, India launched the Green Credit Initiative during COP28, which is set to become a global collaboration. At COP28, the UAE announced it would develop 6.6 GW of clean energy capacity in India, including production of 10 MW of wind and solar energy. These projects are expected to be financed by the UAE's $30 billion climate fund Alterra. India's robust economic growth potential, its ambition to achieve net-zero emissions by 2070, and the estimated need for $10 trillion investment to achieve this target are expected to make green ventures financially sustainable and rewarding. The Abu Dhabi National Oil Company (ADNOC) will supply more than one million metric tons per year of LNG for the next 15 years. In nuclear energy, the two countries signed an MoU to enhance cooperation in nuclear power plant development, energy procurement and exploration of mutual investment opportunities. Meanwhile, the ADQ Holding Company has committed to establishing an agricultural and food processing industrial complex using advanced technologies. These initiatives coincide with the UAE's announcement of the commercial plant of Unit 4 of the Barakah nuclear power plant. The UAE-India Civil Nuclear Energy Agreement is expected to bolster energy security by diversifying sources, reducing dependence on fossil fuels and promoting the use of clean energy. This will contribute to both countries meeting their climate goals. It is also expected to facilitate exchange of technology and expertise in the nuclear energy domain, thus boosting innovation and safety standards. The nuclear energy agreement adds on to a few other MoUs signed during UAE President Sheikh Mohammed Bin Zayed Al Nahyan's visit to India earlier. Together, they are not only significant steps towards strengthening their thriving strategic bilateral partnership but also target carbon footprint reduction in the energy sector. While coal will remain a major part of the energy mix for India, the UAE, via the Abu Dhabi Investment Authority, for example, has invested in some of the largest Indian renewable energy companies — ReNew and Greeenko Group. Such partnerships allow the UAE to diversify its export portfolio, reducing dependence on fossil fuels while capitalising on India's vast market potential. They also promote the UAE's strategy to 'decarbonize the energy of today while investing in the energy of tomorrow.' The UAE has set a target to achieve net zero emissions by 2045 and ADNOC is investing as much as $5 billion annually in low-carbon energy, both initiatives better than its regional peers. Beyond the bilateral, there are also other climate change mitigation bids intersecting with wider partnerships involving other countries.
Zawya
16-04-2025
- Business
- Zawya
‘North Africa's solar drive held back by financing gap'
As North Africa positions itself as a future leader in solar energy, the region's progress remains constrained by a persistent financing gap, according to Aditya Saraswat, Senior Vice President and Head of Research at Rystad Energy. Speaking at the Middle East Energy Summit in Dubai last week, he pointed out that limited access to capital and the widening global disparity in financing costs are key barriers to the development of solar photovoltaic (PV) projects in North Africa 'After the pandemic, we have seen the cost of capital for oil and gas projects go up… but that is not the showstopper. The showstopper is the difference in the cost of capital for developed economies versus developing economies when it comes down to accessing renewable energy.' While solar PV is rapidly outpacing other technologies in terms of projected growth and emissions alignment, its rollout in North Africa is heavily dependent on financial structuring and investor confidence, stated Saraswat. He said the financing mechanism becomes even more critical when considering that '90 percent of power generation in the region still comes from liquids, gas, and coal,' with renewables contributing only a small share. Targeted financial mechanisms Initiatives like COP28's Loss and Damage Fund and climate finance packages are seen as vital tools to bridging the capital gap. Aditya Saraswat noted that the Fund—designed to support vulnerable countries facing the impacts of climate change—plays a critical role in facilitating access to renewable energy in emerging economies, which are expected to be key drivers of future energy demand. The UAE has reportedly pledged $100 million to the fund. Additionally, the UAE launched the Alterra fund with an initial commitment of $30 billion, aimed at attracting further private investment by mitigating risks associated with projects in developing regions. Despite such initiatives, access to capital in North Africa remains limited due to policy uncertainty, fiscal instability, and underdeveloped local banking systems. This makes long-term project financing, especially for capital-intensive solar PV and grid infrastructure, challenging, according to the Rystad analyst. Master projects reshape supply chain In his address, Saraswat also outlined how the emergence of large-scale, mass-manufacturing 'master projects' - often supported by international partnerships - is reshaping the renewable energy sector. 'These projects are helping to streamline fragmented supply chains making them more competitive and ultimately reducing the cost of key technologies like batteries and solar PV modules,' he said, adding that the lower costs open the door to increased access to financing for developers. Egypt, Morocco lead solar push He said Egypt and Morocco are leading the North Africa region in terms of active solar PV pipeline. Egypt alone accounts for 39 gigawatts (GW) of solar PV capacity in the pipeline out of which 36 GW is in the planned phase with remainder either under construction or already operating. Morocco follows with 18 GW, most of which is also in the planning stage. However, Saraswat cautioned that any disruption along the way — be it in policymaking, fiscal pressure on governments, or challenges faced by developers and operators, can derail this progress. 'In such cases, these countries risk falling back on legacy energy sources just to meet their energy needs,' he said. Long-term potential remains Despite these hurdles, Saraswat was optimistic about the long-term promise of the region. He pointed out that solar PV projects in North Africa have some of the highest capacity factors in the world due to geographic advantages, which could unlock downstream revenue potential in both local and export markets, particularly Europe. 'The region has all the right ingredients to breed the solar rollout, not only in-house but also to support energy transformation in neighbouring continents,' he said. He also referenced ongoing plans for intercontinental energy trade, including solar electricity and hydrogen exports to Europe, which could eventually create more bankable project profiles. Role of industry and policymakers For North Africa to capitalise on its solar advantage, Saraswat urged both public and private stakeholders to address the financing dilemma head-on. This includes building stronger credit frameworks, de-risking foreign investments, and ensuring transparent, long-term energy policies. 'As business players and strategy makers, you have to look at policy differences, target deviations, and any bottleneck in the financial supply chain. That will ultimately determine the speed of rollout for the PV sector,' he concluded. (Reporting by Rajiv Pillai; Editing by Anoop Menon) (
