#USA #Miami #Energy Storage #Enfinity Global #Daiwa Energy

Enfinity Global Teams Up with Daiwa for Major Energy Storage Projects

Enfinity Global Inc. has made a significant move in the renewable energy sector by selling a minority stake in its energy storage projects to Japan's Daiwa Energy Infrastructure Ltd. This agreement, which amounts to approximately 49% of two substantial battery energy storage system (BESS) projects, marks a pivotal partnership in advancing energy solutions in both the United States and Italy.

Overview of the Projects

The first project is situated in the Houston zone of the Electric Reliability Council of Texas (ERCOT), featuring a capacity of 250 MW with a two-hour duration and a total capacity of 500 MWh. The second project is located in Italy's Veneto region, boasting a 130 MW capacity and a four-hour duration, which translates to 520 MWh. Both projects are expected to commence operations by 2027.

Through this collaboration, Enfinity aims to bolster grid resilience and cater to the surging energy demands posed by data centers and industrial electrification in both regions. This initiative aligns with the current global shifts towards renewable energy solutions, showcasing a critical step towards achieving sustainability goals.

Comments from Leadership

Carlos Domenech, CEO of Enfinity Global, expressed enthusiasm about the partnership, stating, "We are honored to partner with Daiwa Energy Infrastructure, one of Japan's leading financial institutions, to bring new investments to the USA and Italy." Domenech emphasized the dual benefits of the partnership, highlighting it as a demonstrative case in enhancing grid capabilities and facilitating the reliable delivery of clean energy to meet customer needs.

Jun Hayakawa, Deputy President of Daiwa Energy Infrastructure, commented on the significant timing of this collaboration. With a growing emphasis on renewable energy and the demand for robust power solutions, he noted, "This partnership represents a remarkable opportunity for DEI to expand its renewable and storage portfolio globally. Enfinity Global is outstandingly positioned to capitalize on the increasingly vibrant renewables and energy storage markets."

Strategic Importance of the Deal

This deal is strategically essential for both entities, as Enfinity will continue to manage the development and construction works while also overseeing long-term asset management of the projects. The investment strategy of Enfinity centers around fostering relationships with like-minded investors, effectively accelerating growth, and optimizing returns across their global portfolios.

Ricardo Diaz, Global Head of Capital at Enfinity Global, added, "We are pleased to welcome Daiwa Energy Infrastructure as a vital partner. Integrating long-term investors is crucial for our capital formation strategy, which facilitates growth and enhances returns."

Enfinity Global's Position in the Market

Enfinity Global stands as a rapidly expanding independent power producer (IPP) in the U.S., operating a diverse global portfolio of 35.5 GW, which includes 20.9 GW from solar and wind projects along with 14.6 GW from battery energy storage systems. Their operational assets currently account for 1.1 GW, with an additional 1.2 GW in the construction phase.

The legal underpinnings of this transaction saw Enfinity being advised by Winston Strawn and DLA Piper, while Daiwa Energy Infrastructure received guidance from Orrick Herrington Sutcliffe, Ensight Energy Consulting, and Ernst & Young.

As the world collectively pushes towards more sustainable practices, strategic partnerships like that of Enfinity and Daiwa become increasingly critical. This alliance not only signifies a substantial financial injection into essential energy projects but also showcases an ongoing commitment to meeting the future's energy challenges head-on.