The infrastructure investment firm Infratil will spend $US233 million ($NZ327m) to establish Gurīn Energy, a renewable energy development business with headquarters in Singapore.
Infratil chief executive Jason Boyes. Photo: Supplied
Gurīn would focus on developing greenfield renewable projects across Asia, including Southeast Asia, North Asia and India.
Infratil chief executive Jason Boyes said "decarbonisation is essential to combat climate change and renewables is one of the single largest investment opportunities in history with over US$4 trillion of investment in wind and solar assets forecast over the next decade".
The size of the Asian market would help Infratil diversify the risk profile from geographic and technology perspectives, with the development of wind and solar PV (photovoltaic) energy projects, and storage solutions, he said.
"Together with our US, European and New Zealand platforms, our investment in Gurīn Energy demonstrates our global commitment to sustainability and climate change and extends our ability to manufacture quality renewable energy assets to Asia.
"As we have seen with Tilt Renewables and in North America and Europe, investor demand for these sorts of assets is only increasing."
Infratil had committed $US233m for development, including $US100m in the form of support for letters of credit to be provided by third party financiers for projects, and would own the business in partnership with its management team led by Assaad W. Razzouk.
Boyes said Razzouk had a long track record in the Asian renewable energy market, with the support of his Singapore-based Sindicatum Renewable Energy Company.
"It was essential to partner with an experienced team, on the ground in the Asia region, as we have when extending into other new geographies.
"Their track record and experience in the sector and region sit nicely alongside our renewable development teams globally."