BlackRock Real Assets Set to Buy 115 MW of Solar Projects in Taiwan

BlackRock Real Assets, a global investment management company, has announced its plans to expand its renewable power portfolio in Asia.

The Fund, which is a private fund managed by BlackRock Real Assets, is set to buy a 115 MW solar portfolio comprising 14 projects in Taiwan from New Green Power (NGP) and J&V Energy.

Moreover, the company currently manages a $5 billion global renewables investment platform, which has a strategic priority to invest in the Asia Pacific.

This latest acquisition is BlackRock’s second renewables investment in Taiwan after it acquired the entire equity interest in a 59 MW solar portfolio comprising 28 projects in Taiwan from J&V Energy Technology Co (J&V energy), a solar producer headquartered in Taipei in August 2018.

The follow-on investment consists of operating and construction projects, with NGP continuing to provide engineering, procurement, and construction (EPC) services, as well as long-term operations, maintenance, and asset management services. The portfolio offers long-term income for the investors with attractive 20-year feed-in-tariff (FiT) contracts secured from an investment grade off-taker.

Charlie Reid, portfolio manager of the BlackRock Renewable Power investment team, said: “This acquisition reinforces our commitment to investing in Taiwan, a growth market where local authorities are targeting an installed base of 27 GW of renewable power by 2025.”

Mercom contacted BlackRock for the details of the transaction, but the amount was not disclosed.

The company has invested in over 300 solar and wind projects across 12 countries over the last few years, providing clean energy to 10 million homes every year.

Last year, Global Energy & Power Infrastructure Fund III (GEPIF III), a BlackRock Real Assets power and energy infrastructure fund, secured $1.5 billion in commitments from prominent institutional investors in North America, Middle East, Europe and Asia, subject to certain post-closing conditions.

Recently, the Taiwanese government amended its Electricity Act to allow non-utility companies to buy renewable energy to reduce their carbon footprint.

According to Mercom’s Q1 2019 Solar Funding and M&A Report, led by investment firms, about 5.9 GW of solar projects were acquired in Q1 2019 compared to 4.8 GW in Q4 2018 and 7.7 GW in Q1 2018.