Norway's Scatec eyes floating solar in $1.2bn deal to become 'global renewables leader'

Scatec Solar will buy $1.2bn of hydropower operated by fellow Norwegian group SN Power as part of a widened ambition to become a “global leader” in clean energy spanning large-scale PV, wind, hydro and energy storage.

The acquisition deal with Norwegian development fund Norfund will leave the enlarged Scatec with a gross 3.3GW of plants in operation and construction, adding SN Power’s interests in a 1.4GW hydropower base that’s mainly focused in Southeast Asia and sub-Saharan Africa, with the two retaining a joint venture in the latter.

Scatec Solar – which counts Norwegian energy group Equinor as a 15% shareholder – did not immediately give further details of its ambitions in wind and storage.

Scatec CEO Raymond Carlsen said: “Scatec Solar and SN Power are a strong cultural fit. Rooted in Norway’s industrial tradition, both companies are ambitious front-runners in green energy in emerging markets.

“With SN Power, Scatec Solar will strengthen its position as a partner for governments and communities that are seeking economic growth. The company will also be more relevant for corporate customers seeking cleaner and more affordable energy and for shareholders who wish to position themselves in the rapidly growing renewable energy space.”

Norfund said it would rapidly reinvest the proceeds of the deal to pursue its mission to aid renewables growth in emerging markets.

The development fund said: “Norfund has just secured triple of what we were able to invest in 2019 and along with partners we can now help accelerate major economies’ energy transitions such as India and Vietnam replacing coal power with new solar and offshore wind.

“With governments tragically cutting development aid budgets, we are also demonstrating that we can and should receive greater resources to create jobs and alleviate energy poverty.”