10MW solar plant in Tororo, Uganda
A new Africa-focused renewables independent power producer (IPP) has been formed following a buy-out of Building Energy’s Africa and Middle East business by a joint venture comprising Building Energy’s management and Inspired Evolution’s Evolution II Fund.
Rebranded Red Rocket and headquartered in Cape Town, the enterprise was originally founded in 2012 as the Africa and Middle East unit of Building Energy’s global operations.
Evolution II holds a majority shareholding in the reconfigured IPP platform and is advised by Inspired Evolution, an investment advisory firm that has, to date, helped finance more than 1.2 GW of renewables projects across sub-Saharan Africa.
Evolution II Fund’s investors include various development finance institutions from around the world.
The joint venture will seek to add to its existing 377-MW portfolio of projects and operating assets in South Africa, Uganda, Zambia, Mali, Namibia and Lesotho.
The company is currently developing a 2-GW project pipeline that includes utility-scale wind, solar and small hydro generators.
It will bid into future rounds of South Africa’s Renewable Energy Independent Power Producer Procurement Programme (REIPPPP), as well as other African auctions.
Most of the power purchase agreements will be concluded as a result of public processes, but the venture will also pursue private generation prospects.
Red Rocket CEO Matteo Brambilla says the partnership with Inspired Evolution is aligned with the company’s aspiration of being a premier long-hold utility-scale IPP platform, offering least-cost clean and reliable energy to African customers.
“Our auction successes under the REIPPPP in South Africa and in select countries across Africa are testament to the innovation we continually apply to our renewable energy public and private bid strategies,” Brambilla states, adding that the buy-out and recapitalisation would support its growth capital requirements.
Inspired Evolution managing partner Christopher Clarke added that Red Rocket’s demonstrated bid success will help accelerate the deployment of utility-scale clean energy infrastructure in targeted countries across Africa.