Actis launches sustainable power generation business based in Singapore
Actis, a leading global investor in sustainable infrastructure has launched Bridgin Power (Bridgin) to pursue gas-fired power projects and focus on delivering an equitable Energy Transition in the Southeast-Asian region, where power demand is constantly on the rise. Bridgin is targeting a total portfolio capacity of 1.2 gigawatts (GW) across the region by 2028 – its target geographies include Vietnam, Indonesia, Thailand, Philippines, Malaysia, Bangladesh, and Sri Lanka.
The business will be led by a management team based in Singapore, who will together work to embed sustainability in all their operations.
Bridgin – funded through Actis Energy Fund 5 – recently closed its first investment by acquiring 49% shareholding in a 220-megawatt Combined Cycle Gas Turbine power plant in the Bhola region of Bangladesh. Bridgin acquired this stake from India’s Shapoorji Pallonji Group, a global, diversified institution with a sector focus on engineering and construction, infrastructure, energy, real estate, water, and financial services.
Sanjiv Aggarwal, Partner, Energy Infrastructure at Actis said: “We’re excited to be launching a business spanning Southeast Asia, a region which has increasing power demands and where we can leverage Actis’ proven strategy of aggregating energy assets into a scalable regional platform which enables a just and equitable Energy Transition.
“We believe natural gas is an essential fuel for the medium term offering flexible low emission power as the region gradually transitions to more green energy sources. Bridgin Power’s investment in Bhola power project in Bangladesh is a step in that direction. Investing from our USD6 billion Actis Energy 5 Fund, in partnership with Bridgin’s management team, we aim to deliver up to 1.2GW of power capacity by 2028.”
Shami Nissan, Partner and Head of Sustainability at Actis, commented: “Actis is a signatory to the Net Zero Asset Managers Initiative which supports the goal of Net Zero gas emissions by 2050 and we recently announced our own portfolio-wide 2050 Net Zero target. Our investment in Bridgin Power will allow us to utilise our Transition Tool to continue our commitment as a core enabler of the global low carbon economy.”
Dennis Foo, Group CEO, Bridgin Power added: “We’re delighted to have closed our first investment in a country which has strong need for gas power to meet its growing power demands and which provides a stable PPA framework for investors. The acquisition of Bhola asset sets us on our path to create an energy platform of scale, using natural gas as a bridge to a sustainable and low carbon future.”
The Bhola power plant has a 22-year PPA with the Bangladesh Power Development Board and achieved commissioning in Jun 2021.