At Altair Renewable Energy (ARE) we aim to generate stable and secure returns for our stakeholders by investing in renewable energy power production. We plan to build a diversified portfolio by adding to our initial positions in biomass plants with investments in tidal, solar and wind projects.
We are focused on EU-based opportunities that offer substantial security for our investors in the form of physical assets or income streams guaranteed by governments or other high-quality counterparties. We also expect some of our investments to be in projects that are already up and running and generating immediate income.
Growing population and the urgent need to reduce our reliance on fossil fuels mean that in the years ahead we must all redefine how we think about generating and consuming energy. The International Energy Agency expects global energy use to rise by 55% by 2030 and governments all over the world are committed to increasing the market share of renewable energy. Together these imply a massive increase in demand for well-run renewable energy projects.
As a result the potential for profit from ethical investments has never been higher, and we aim to take advantage of some of the many exciting opportunities that are on offer right now to savvy investors.
We are committed to serving the best interests of our investors by making ethical investments in renewable energy that can generate secure and steady investment returns. The renewable energy market has seen enormous growth over the past ten years as governments, businesses and individuals across the world have recognised the importance of developing sustainable sources of power.
We aim to combine that shared vision with robust commercial due diligence to ensure the best possible use of our investors’ funds. The profits we seek arise from our efforts to help others harness new technologies and develop approaches to encourage sustainable, more affordable and cleaner energy production and consumption.
When we look at investing into a project, the security of our investors’ capital is the first thing we consider. Does the project offer sufficient asset value? What else protects our position? Who is buying the power or providing any guarantees? We will normally insist on a floating charge over all of the project’s assets, and where appropriate assignments over any guaranteed revenue streams, such as the power purchase agreement.
Our deal process is led by the need to identify and control risks. When we are evaluating an existing asset, our due diligence focuses on issues such as the security of supply for the required inputs; reliability of the equipment; provisions for its maintenance; the strength of the operation’s management team; and the quality of any guarantees provided by the purchasers of the energy produced.
When we are considering a new build opportunity, many of the same issues are still of prime importance, but in addition we consider a wide range of development issues, such as planning and permit permissions, reliability and track record of the construction partner(s) and whether the equipment proposed has a track record.
We will look at investing both debt and equity into projects, but currently plan to make the great majority of our investments via debt or debt based secured instruments, with a view to achieving a high and regular income to benefit investors. We may however also take some equity positions in order to offer some potential for capital growth in addition to the income secured.